Comments on: Can any one answer these questions need help,How have monetary and fiscal policies affect automobile industry? http://www.cargearusa.com/blog/can-any-one-answer-these-questions-need-helphow-have-monetary-and-fiscal-policies-affect-automobile-industry/ Fri, 18 May 2012 00:29:49 +0000 http://wordpress.org/?v=2.7 hourly 1 By: Treadstone http://www.cargearusa.com/blog/can-any-one-answer-these-questions-need-helphow-have-monetary-and-fiscal-policies-affect-automobile-industry/comment-page-1/#comment-8931 Treadstone Thu, 18 Feb 2010 14:59:09 +0000 http://www.cargearusa.com/blog/can-any-one-answer-these-questions-need-helphow-have-monetary-and-fiscal-policies-affect-automobile-industry/#comment-8931 Autos = big ticket items. Usually have to be financed/purchased using a loan. Monetary & fiscal policies determine how much money is in circulation & interest rates which determines whether credit is loose or tight. The looser the credit the easier it is to get a loan. The easier it is to buy a car. Tighter credit means harder to get a loan & higher the interest rate. Harder & more costly to purchase a car. The more cars sold = more people employed in industry. Related links: Note - monetary/fiscal policy also affects employment vs. unemployment. Higher employment - higher consumer confidence - people more willing to make large purchases.<a href="http://www.englishoverseas.com/teach-english/teach-english-china.htm"> Treadstone</a> Autos = big ticket items. Usually have to be financed/purchased using a loan.

Monetary & fiscal policies determine how much money is in circulation & interest rates which determines whether credit is loose or tight.

The looser the credit the easier it is to get a loan. The easier it is to buy a car.

Tighter credit means harder to get a loan & higher the interest rate. Harder & more costly to purchase a car.

The more cars sold = more people employed in industry.

Related links:

Note - monetary/fiscal policy also affects employment vs. unemployment. Higher employment - higher consumer confidence - people more willing to make large purchases. Treadstone

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