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But without a stringent fiscal policy, the United States would not today be trying to decide what to do with surpluses instead of deficits.
There are periods – the late 1970s and the mid-1990s – when in the aftermath of a crash, stringent fiscal policy is used to rebalance the economy towards exports and manufacturing, but history suggests that they don't last for long.
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He concluded that the county will need at least four years of stringent fiscal policies to reduce its budget deficit.
Unfortunately, in the lead-up to the euro, countries pursued overly stringent fiscal policies — in other words, governments have been increasing their citizens' too-heavy tax burdens rather than lightening them.
The central bank is calling for stringent monetary and fiscal policy, but has no power to force the government to tighten the purse strings.
It did not want to risk the recession and major rise in unemployment that would have resulted from stringent fiscal and monetary policies.
But workers have warned that their campaign against the stringent package of fiscal policies and structural reforms will be ongoing and relentless.
But although monetary policy is lax, fiscal policy is tight.
Monetary policy has been loose; fiscal policy has been tight.
And with economic growth set to be subdued, unemployment likely to rise further, continued weakness in credit growth, and stringent fiscal consolidation yet to bite, the majority on the MPC will be in no hurry to tighten monetary policy.
Fiscal policy!
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com