Effects Of Devaluation On Economic Growth Essays

1044 Words Mar 29th, 2016 null Page
Devaluation cause inflation, Economic growth is one of the most important and popular causes of the devaluation. From the first ages the economy started growing bigger and bigger till now a days, you may ask yourself how? I can tell you, its because of the devaluation that causes inflation.It may seem a little bit confusing, and you also may ask yourself who is dominating this growth ? what statistics and rules they are using? The government or the leader of the country started putting these rules, and oversees this economic growth. These rules are called Economic Policy it is the actions that the government take in the economic field. The Government might want to achieve an objective of a low rate of price inflation. With the development of the science the government can know how to evaluate the economics success by many ways like calculating labor force participation rate, growth, productivity and equality rate from year to another. Economics has a lot of types and kinds that explains and break down the core of the economics, the most important economic types are supply side economic, demand side economics and monetary policy. I 'll start first with the supply side economy it is a macroeconomic theory which argues that economic growth can be most effectively created by investing in capital, and by lowering the barriers on the production of goods and services.This theory was published in the 1983, by the economist Victor Canto.This theory focuses on the…

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