1. Budget Speech - Global Economics
... has the additional effect of increasing income both directly and through the consumption multiplier. It is beyond doubt that South Africa moved into a period of countercyclical policy in response to the global recession that began in the US housing and financial sectors in 2008. Figure 1 shows total ... economy shrinking by a total of 1.5% in 2009. From 2010 onward growth steadily recovered, reaching 3% in 2011. Over the 2001 to 2007 period, it seems that growth and government expenditure were positively related. The second difference of GDP roughly matched the rate of growth of governm...
- Word Count: 2383
- Approx Pages: 10
- Grade Level: Undergraduate