Credit expansion must now be followed by a period of contraction, because some of the new credit instruments and practices are unsound and unsustainable.

Nevertheless, the legacy of the huge contraction in credit is not likely to go away anytime soon.

It misjudged the consequences of fiscal consolidation and credit constraints, underestimating the contraction of employment and overestimating exports and privatization receipts.

Even if a bailout plan were implemented quickly which appears increasingly unlikely there would be some credit contraction.

Contraction

Contraction Filter

China s Inscrutable Contraction

The Great Contraction of 2008 2009

The Second Great Contraction

Since many of the best ideas and innovations come from small companies rather than large, established firms, the ongoing credit contraction will inevitably have long term growth costs.

Fiscal contraction is contractionary, period.

Second, the troika based its programs on overly optimistic assumptions. It misjudged the consequences of fiscal consolidation and credit constraints, underestimating the contraction of employment and overestimating exports and privatization receipts.

Ma'am is a contraction for madam.

The contraction applies not only to output and employment, as in a normal recession, but to debt and credit, and the deleveraging that typically takes many years to complete.

Credit expansion must now be followed by a period of contraction, because some of the new credit instruments and practices are unsound and unsustainable. Moreover, the ability of the financial authorities to stimulate the economy is constrained by the unwillingness of the rest of the world to accumulate additional dollar reserves.

It is a customary contraction like our

This threatens to aggravate the damaging contraction of global trade.

'Company.' It is a customary contraction like our

After many years of contraction, investment in construction also will rise slightly.

The period of gravitational contraction lasts about 10 to 15 million years.

This contraction has become even more severe since then.

There need to be increased funds available to support small and medium size enterprises the main source of job creation in all economies which is especially important, given that credit contraction by banks hits these enterprises especially hard.

Credit Where Credit is Due

Following the German economy s sharp contraction in the last quarter of 2012, the question for the country today is whether it can avoid a technical recession (defined as two consecutive quarters of economic contraction).

The ensuing losses will aggravate the financial turmoil and economic contraction.

But Keynesianism involved continued fiscal expansion, with no offsetting monetary contraction.

The maximum rate of economic contraction a veritable freefall came in the last quarter of 2008.

Credit Courtesy of SelfMadeHero

A letter of credit.

A letter of credit.

But, in a Great Contraction, problem number one is too much debt.

Then We draw it in towards Ourselves , a contraction by easy stages .

The significant contraction of net resource flows between 1990 and 1991 showed no signs of being reversed.

The supply of credit, in other words, resulted from the demand for credit.

Credit

Credit

Young sir, give credit where credit is due.

This contraction of the job market has had a greater impact on youth than on adults.

First, there is the counterfactual case How would Japan s economy have performed in the absence of fiscal stimulus? Given the magnitude of the contraction in credit supply following the financial crisis of the late 1990 s, it is no surprise that government spending failed to restore growth.

A legal system that supports secured credit transactions is critical to reducing the perceived risks of credit transactions and promoting the availability of secured credit.

Forecasters assumed that monetary expansion would provide an effective antidote to fiscal contraction.

Credit Photo courtesy of Wisetwo

Credit Photo courtesy of Wisetwo

Credit Photo courtesy of Vajo

Credit Photo courtesy of Vajo