On catching the most and the best effects of the fiscal policy and the monetary policy. Where are the weaknesses in planning and in implementation?

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You know, every government is measured and evaluated in relation to how good the policies they are using are working with measurable effects in the markets and in the organizations where the government is. You know, the government and the opposition do not work in precisely and in given answers, and that is why there is sometimes guessing about what to do, and other times there is planning and exactly implementation about what have ever happened. But what happens to any nation's economy when the fiscal policy and the monetary policy are out of work? One must use alternatives, and finding better ways about how to govern the state, and this is how we are thinking in economics in microeconomics and in macroeconomics, and the small and the big international issues we are facing in present and in future.

You know, the fiscal policy is coming from the Ministry of Finance, and the monetary policy is coming from the Central Bank of Norway, and one needs competence on the highest level to obtain good and important positions these places. And you should be educated in economics and in business administration to reach these positions in central places in our nation, and there is much history within the institutions about how things were before, and we can learn things, or not learn things about what has happened ever.

On catching the fiscal policy in a country, and the monetary analysis, that is what is going to happen to any times. And in the fiscal policy, there are expansive or contractive ways of doing it. If things are doing expansively, we increase the public amounts and we reduce the tax level. And if things are doing contractively, we reduce the public expenditures, and we increase the taxes. And we shall not love anyone, unless we agree in what is saying and what is writing, and we cannot be obedient to anybody if we are not convenient and happy with whta is going on.

The monetary analysis follows the quantity theory, and that means that if we increase the money supply, we get increase in the price level, or there will be more inflation in an economy. This increases the wages, and higher wages imply higher cost levels for the organizations, and that means higher prices on the products, and this implies that there will be higher wages, and hence we have the wage- and price spiral keeping on going just as the everyday follows us, with what is happening in the national economies. So, if we restrict the money supply, there will be lower prices or deflation, and this means that the prices and the wages are being held down.

So, the fiscal policy and the monetary policy are being used if we want to stimulate or to reduce the different market processes and market effects that are going to happen, especially when coming to sales and costs to the firms that are affected by these things. And if we are using none kinds of these politics, and we have used them too much, we cannot do other things than stimulating the economy in the ways that are possible, although when going around and out of all the advice and the books that are tolding us that we should do such and such.

So, when fiscal policy and monetary policy cannot be used, we should use other things to stimulate the growth and the sales revenues when coming to different firm's operations, and we know all things in the firms, and we know how to cope with the difficulties there, and that we should do much marketing, strategy, and information works, if the fiscal policy and the monetary policy do not work properly with the desires effects that we can expect in any economy to happen, and this is not about shock, but it is about using the intelligence level, and the cognition and the emotional efforts, and we should not use too many books, but we should follow the tax philosophy, and the justice that is going on in the organizations and in the markets, and we cannot always agree in the state budget, and this is an overview of how the state is going to finance itself, and which expenditures that it really has.


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Sverre Larsen

Kristiansand, Norway

#76

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