Stabilise example sentences

The built-in stabilisers, however, reduce only part of the fluctuation in the economy, the rest must be taken care of by deliberate policy initiative.Through changes in its expenditure and taxes, the government attempts to increase output and income and seeks to stabilise the ups and downs in the economy.Further, even the private sector has built-in stabilisers.This deliberate action to stabilise the economy is often referred to as discretionary fiscal policy to distinguish it from the inherent automatic stabilising properties of the fiscal system.This reduces the fall in aggregate demand and stabilises the economy.One of Keynes's main ideas in The General Theory of Employment, Interest and Money was that government fiscal policy should be used to stabilise the level of output and employment.The proportional income tax, thus, acts as an automatic stabiliser – a shock absorber because it makes disposable income, and thus consumer spending, less sensitive to fluctuations in GDP.As discussed earlier, proportional taxes help to stabilise the economy against upward and downward movements.