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Months of political paralysis will squish investment and could dampen consumption.
Assuming Congress passes an energy bill, will it do much to spur production or dampen consumption? A. In the short run, there is not much we can do to encourage production or dampen consumption.
Rising wage arrears suggests that non-payments will also dampen consumption, the main source of growth in recent years.
Sterling has been remarkably steady on the foreign exchanges, but will need to fall in order to increase exports and dampen consumption.
Job and wage cuts boost profits, but they also dampen consumption, as businesses claw back a bigger share of national income.
The question is whether a tax rise will increase people's economic anxieties and further dampen consumption, or reassure them that difficult decisions are being made to shore up their future, so bolstering confidence.Economists are divided.
Similar(48)
By dampening consumption, it hinders economic growth.
That has removed the enormous tail risks that have been holding back investment and dampening consumption.
"The rise in energy and food prices, which brought about a squeeze on real take-home pay, dampened consumption more than we had expected," he said.
All combined, these factors significantly dampened consumption growth in the UK, with knock on effects on investment and stockbuilding.Mr Posen's analysis is careful and compelling, but I wonder if he doesn't overstate the fiscal policy contribution.
The report comes on the heels of an increasing number of warnings from policymakers, ranging from the Treasury Department to the Federal Reserve Bank of New York, concerned that high student debt burdens are dampening consumption and borrowing and may pose a risk to financial stability or economic growth.
Related(18)
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dampen noise
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dampen wage
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