The use of government spending to the impact on the economy is mainly based on two important assumptions of Keynesian.
Firstly, the recession stemming from economies with excess production capacity: the elements input is not used to full capacity, unemployment, neglect of machinery and power and industrial goods surplus. Oversupply phenomenon that tends to reduce commodity prices across all markets, so as not to encourage people to buy more at lower demand and the supply of the actual distance. Results economies are caught in a trap of recession can not escape.
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