Countries running surpluses must adopt expansionary policies and appreciate their currencies.

When an economy faces a downturn, one should engage in expansionary fiscal policies.

With a large output gap and low inflationary pressure, expansionary policies show great potential for reviving economic activity.

This downward pressure on prices has allowed Western central banks to follow expansionary monetary policies, underpinning higher employment and growth.

To combat the effect of high oil prices, consuming countries adopt expansionary economic policies, lowering interest rates and increasing government spending.

In particular, expansionary monetary and fiscal policies which are helpful in the short term must be accompanied by fundamental structural reforms.

To combat the effect of high oil prices, consuming countries adopt expansionary economic policies, lowering interest rates and increasing government spending.

To offset the negative impact of private sector deleveraging on growth, the US government has maintained expansionary fiscal and monetary policies.

Some will say that he should get G 20 countries to coordinate an orderly exit from their expansionary monetary and fiscal policies.

More importantly, countries could use similar instruments, as part of a true international regulatory regime, to increase the effectiveness of their expansionary monetary policies.

Indeed, it may be one reason why highly expansionary policies by the Fed and other central banks have taken so long to generate growth.

First, consumption has to give way smoothly to investment, as past excess capacity is worked off and as expansionary policies in industrial countries normalize.

All of this is happening in the midst of extremely expansionary monetary policies and near zero interest rates, except in the countries facing immediate crisis.

The second case for expansionary fiscal contraction is subtler.

So early fiscal consolidation can be expansionary on balance.

Because the Fed has clearly communicated that it will move gradually toward less expansionary policies, its credibility would be damaged if it did not follow through.

Any attempt to use expansionary government policies to drive unemployment below a certain level, they demonstrated, would fuel inflationary expectations and undermine both economic growth and employment.

Countries with a stronger fiscal position (that is, smaller structural deficits) should be encouraged to adopt more expansionary policies in order to contribute to lifting overall demand.

Meanwhile, India, constrained by a high fiscal deficit and persistent inflationary pressure, has less scope for expansionary policies and faces significant challenges in pursuing credible structural reform.

Other factors included defective financial regulations, expansionary fiscal policies in countries like the United States, Britain, and Ireland, a lack of appropriate macro prudential regulations, and so on.

Thus perhaps no region will be as expansionary as the US.

Europe is mired in its oxymoronic commitment to expansionary fiscal austerity.

They also pursued an expansionary monetary policy and let interest rates slide.

Today, fiscal policy remains too expansionary in virtually every Latin American country.

The problem is compounded by the fact that one of the countries undertaking expansionary policies is the United States, which has the world s largest financial sector and issues the paramount global currency.

The US Federal Reserve s Ben Bernanke, the Bank of England s Mervyn King, and the European Central Bank s Jean Claude Trichet will each decide when and how to reverse their expansionary monetary policies.

But, while it is true that such expansionary policies can have a recessionary impact on other economies, modern international finance theory shows that the concept of a currency war is a myth.

The plain truth is that Germany is lacking any kind of expansionary drive.

Keynes proposed clear prescriptions for hard economic times expansionary monetary and fiscal policy.

But, at a minimum, the outcome is likely to speed up implementation of eurozone decisions that have already been made, leading to somewhat more expansionary economic policies in both Germany and the eurozone.

It would be highly desirable to come to an agreement to end the sanctions to integrate Russia (and Ukraine) more fully into the world economy and to couple these steps with expansionary economic policies.

Nevertheless, their expansionary actions have helped to raise long term inflation expectations toward the target levels.

Nevertheless, their expansionary actions have helped to raise long term inflation expectations toward the target levels.

Some economists point to highly expansionary monetary policy in the years leading up to the crisis.

But only governments with access to market finance can use expansionary fiscal policy to boost demand.

Others in the European Commission, the European Central Bank, and a few universities talked of expansionary contractions.

It also lowered long term interest rates in the US and made monetary conditions there more expansionary.

IMF policies worked.

IMF policies worked.

Countries who try to keep their economies growing too fast for too long, using drastic steps such as large tax cuts or highly expansionary monetary policies, frequently end up in a financial mess that takes years to clean up.

For example, many central banks followed the Federal Reserve s excessively loose monetary policy. Other factors included defective financial regulations, expansionary fiscal policies in countries like the United States, Britain, and Ireland, a lack of appropriate macro prudential regulations, and so on.

It does not take into account the financial cycle, and thus produces excessively expansionary and asymmetric monetary policy.

Such policies might include

America s policies were clear.

All policies entail risk.