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AP US Government
Unit 4 – American Political Ideologies and Beliefs
Topic 4.9
How does the monetary policy of the Federal Reserve illustrate aspects of Keynesian economics?
It advocates for deregulation and laissez-faire economic principles.
It supports neoliberal policies by promoting privatization and reducing public expenditures.
It uses measures like adjusting interest rates to control money supply and manage economic growth, which aligns with Keynesian emphasis on active government intervention in economy.
It promotes supply-side economics through tax cuts to stimulate production.
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AP US Government - 4.9 Ideology and Economic Policy
Key terms
Federal Reserve
Keynesian Economics
Monetary Policy
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About Fiveable
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Resources
Cram Mode
AP Score Calculators
Study Guides
Practice Quizzes
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© 2024 Fiveable Inc. All rights reserved.
AP® and SAT® are trademarks registered by the College Board, which is not affiliated with, and does not endorse this website.
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