Hello Tanzi Vito,
I think it is commendable that you chose to write about monetary and fiscal policies and their application by different countries during and after the Great Recession. You managed to explain what fiscal and monetary policies mean. In addition, you mentioned what policies are considered austerity in nature. I found this information informative and easy to understand. It is impressive that you managed to highlight the shortcomings of monetary policies over fiscal policies and vice versa. I do concur with the sentiments that monetary and fiscal policies have a shortcoming. Further, It is impressive that the author outlined several examples of monetary and fiscal policies Specifically, you mentioned interest rates as part of the monetary policies (Vito,2015). Additionally, you mentioned public expenditure and taxes as examples of fiscal policies. I do concur with these respective examples. Despite the shortcomings, you mentioned the effects of monetary policies such as lowering interest rates. I do agree that expansionary monetary policies such as low-interest rates encourage expenditure and borrowing thus boosting economic activity(Pettinger,2019). You mentioned the importance of combining monetary and fiscal policies for better economic growth. I consider this suggestion sound because of the respective shortcomings of fiscal and monetary policies when incorporated separately into the economy.
RESPONSE 2
Hello Giuseppe & Ghignoni,
Excellent journal post entry, I found your discussion stimulating as to the connection between over-education of graduates and market forces of demand and supply. You defined what over education means and how the same occurs. I do concur with the assertion that over education can be a result of formal learning and labor market experience. You disclosed the causes of over education such as low individual activity, imperfect match of the labor market, and other imperfections. This was very helpful.Your findings of the study indicate that over education does not necessarily link to an increase in the supply of qualified workforce(Giuseppe & Chignoni,2015) However, your findings suggest an inverse relationship between relative wages and over education. This suggests that there is a link between the demand for labor that is qualified. It is impressive that this study explored the connection between labor demand ,supply and over -education of graduates. There is limited literature on this topic.
By linking the role of demand for skilled labor to wages and over education, it became clear to me what their relationship i.e. found it informative that there is a link between over education, demand, and supply of labor.
References
Giuseppe, C & Ghignoni, E.2012. Demand and Supply of Skilled Labor and Over education in Europe: A Country-level Analysis. Comparative Economic Studies (Palgrave); Jun2012, Vol. 54 Issue 2, p413-439, 27p
Pettinger, T.2019.Effects of lower interest rates .Retrieved from https://www.economicshelp.org/blog/3417/interest-rates/effect-of-lower-interest-rates/
Vito, T.2015. Fiscal and Monetary Policies during the Great Recession: A Critical Evaluation. Comparative Economic Studies (Palgrave); Jun2015, Vol. 57 Issue 2, p243-275, 33p
