A uni presentation on Stimulus Packages. Was it sensible and successful for Australia

1. Havetheybeen:
Sensible?
Succesful?
(EspeciallytheoneinAustralia)
Agar,Anthony,Jack,Vlas.
Week13
Stimuluspackages

2. ButFirst...
Let’sdefinea
‘STIMULUSPACKAGE’

3. stimuluspackage:
Apackageorganizedbythe
governmenttosmulatea
flounderingeconomy.
It’saimistoreinvigoratethe
economyandpreventarecession
byboosngemployment
andspending.
(Investopedia,2014)

4. America China
Stimuluspackages
aroundtheworld

5. SPend!
Spend!
Spend!
JohnMaynardKeynes
Iam

6. Thisis
theman
John
Maynard
Keynes
Possible
relative?
Ron
Burgundy
FoundedbyJohnMaynardKeyneswho
believedthattoestablishopmal
economicperformance,government
intervenonisneededtoinfluence
aggregatedemandintheshortrun.
keynesianeconomics

7. Theirthoughtsonthesmuluspackages
labourvsliberal

8. “thefederalgovernmentclaimedthat200,000
joblosses(1.9%ofthelabourforce)were
avoidedandthatemploymentroseby450,000
fromNovember2007tomid-2010(ALP,n.d.)”
Preventedjobloss

9. Theamountofferedinthesmuluspackageandthe
rolloutstrategy mingsisquesonable?!?!
BUT
Inessence...yes
WasitSensible?

10. “Consideringwewerenegavein
December2008,yeswedid,asthenext
twoconsecuvequartersreporteda
posiverealGDPpostsmulus”
didweavoidarecession?

11. Howeverweneededto
knowhoweffectivethe
fiscalstimuluswasin
avoidingarecession?

12. “Sogovernmentfiscalsmulushasundoubtedly
contributedtotheeconomy’sstrongperformance
throughtheGlobalFinancialCrisis”
Wellinshort...YES
WasitSuccessful?

13. WhatisthereasoningbehindRudd
handingoutmoneytotaxpayers?
Wasitnecessary?DidRudd
‘freak-out’sotospeakandrushed
intogiveout12.7Billiondollarsfor
Australianstospend?DidAustralia
needthesmulushandout?
Discussion...