This book, originally published in 1978, makes use of and extends
first-year macroeconomic theory to examine how governments attempt
to use the instruments of macroeconomic policy in order to acheive
their objectives. It begins with a discussion of the meaning and
desirability of policy objectives, moves on to examine the workings
of the main policy instruments and concludes with a chapter which
outlines Tinbergen's 'fixed' targets' and Theil's 'flexible
targets' approaches to policy. A chapter on debt management
considers the main theories of the term strcutyure of interet rates
and their implications for debt management as an instrument of
policy.
General
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