Fiscal Stimulus
Fiscal stimulus refers to government actions aimed at boosting economic activity, especially during periods of recession or slow growth. This can involve increasing public spending on infrastructure, education, or healthcare, as well as cutting taxes to increase disposable income for individuals and businesses. The goal is to encourage consumer spending and investment, which can help stimulate job creation and overall economic growth.
Governments often implement fiscal stimulus through measures such as stimulus packages or tax rebates. These strategies are designed to inject money into the economy quickly, providing immediate relief and support to those affected by economic downturns. By doing so, fiscal stimulus aims to stabilize and revitalize the economy.