With strong US support it put together a US $ 50 billion package to restore confidence and help Mexico recover from the effects of excessive monetary expansion that had sucked in imports.
32.
However, large and sudden inflows of capital with a short term investment horizon have negative macroeconomic effects, including rapid monetary expansion, inflationary pressures, real exchange rate appreciation and widening current account deficits.
33.
Increasing the supply of money only confuses society's ability to calculate relative costs during the time of monetary expansion precisely because it is not injected into all areas of the economy at once.
34.
"We have witnessed progress in the effort to attain the inflation target, a decline in inflationary expectations, and a deceleration in the rate of monetary expansion, " said Frenkel in a telephone interview.
35.
Krugman too agrees adding that on the eve of the crisis all the countries were " more or less in fiscal balance, nor were they engaged in irresponsible credit creation or runaway monetary expansion.
36.
When gold arrived from securities in order to diminish the effect of monetary expansion, therefore executing the first open market operations in the history of Australia and thus the first attempt of central banking.
37.
In particular, though economic logic suggests that the Bank of Japan can and should help Miyazawa with aggressive monetary expansion, the BOJ has devoted considerable effort to devising creative reasons why it can't and shouldn't.
38.
Several stimulus " policies-artificially created monetary expansion to combat deflationary pressures through credit & fiscal easing-is only postponing absolute economic decline and burdening future generations with humongous debt repayments in the absence of innovation-led growth.
39.
From 1873 through 1878, before another spurt of monetary expansion, the total supply of bank money rose from $ 1.964 billion to $ 2.221 billion, a rise of 13.1 percent or 2.6 percent per year.
40.
In economics, "'hyperstagflation "'is the concept that the global economy is heading into a period of stagnation, combined with hyperinflation due to the massive monetary expansion being orchestrated by the world's governments and central banks.
