Ap gov

Fiscal Policy

Decisions made by the government regarding government spending and taxation.

Monetary Policy

Decisions made by the government about how much money should be in the economy.

Keynesian Economics

An economic theory that supports government spending and regulation to keep the economy strong.

Supply-Side Economics

An economic theory that supports reducing regulations and taxes to stimulate production and economic growth.

Role of Government in Liberal Ideology

Favors significant government intervention in the economy, believing it keeps the economy strong and secure.

Role of Government in Conservative Ideology

Advocates for minimal government intervention in the economy, prioritizing individual freedom and the free market.

Libertarian Ideology

Believes in the least amount of government intervention possible, focusing on protecting property rights and facilitating voluntary trade.

Conservative View on Fiscal Policy

Prefers less government spending, lower taxes, and minimal government programs.

Liberal View on Fiscal Policy

Supports higher government spending and more regulations to address economic issues.

Conservative View on Monetary Policy

Favors using monetary policy to stabilize the economy.

Liberal View on Monetary Policy

Believes monetary policy is too slow to effect real change in the economy.