Скачать или смотреть Stimulus Check Update || Stimulus Check Explained in Hindi

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In this video we will be talking about stimulus package & about it in detail to understand it.


What Is a Stimulus Package?

A stimulus package is a package of economic measures put together by a government to stimulate a floundering economy. The objective of a stimulus package is to reinvigorate the economy and prevent or reverse a recession by boosting employment and spending.



KEY TAKEAWAYS :

A stimulus package is a coordinated effort to increase government spending—and lower taxes and interest rates—in order to stimulate an economy out of a recession or depression.

Based on principles outlined by Keynesian economics, the goal is to increase aggregate demand through increased employment, consumer spending, and investment.

The U.S. Senate voted to approve a $2 trillion stimulus bill on March 26, 2020, to backstop the economy from the economic impact of the coronavirus. President Trump signed the CARES Act into law on March 27.



Risks of Economic Stimulus Packages :

Economic stimulus packages are direct government intervention to keep people employed and consuming. In order to enact such measures, the government will need to take on a significant debt burden. High government debt levels lead to an increase in bankruptcy risk for a country’s government.

In theory, a government should pay back the debt in years of economic growth by increasing tax rates and decreasing spending. However, in practice, it is rarely the case, and debt levels continue to increase in perpetuity. The probability of a large, stable economy like the U.S going into bankruptcy is low, but for smaller, unstable countries, it can be a serious issue.

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Video is for educational purpose only.Copyright Disclaimer Under Section 107 of the Copyright Act 1976, allowance is made for "fair use" for purposes such as criticism, comment, news reporting, teaching, scholarship, and research. Fair use is a use permitted by copyright statute that might otherwise be infringing. Non-profit, educational or personal use tips the balance in favor of fair use.