External stimulas

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Tata Mutual Fund

Business Economy & Finance

External stimulus / fiscal stimulus / stimulus packages have become common terms after the world suffered one of its worst meltdowns. Let’s try and understand what they conceptually mean with the help of an interesting story…

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He asks for a room and puts a $1000 note as advance on the reception counter and books a room for use after 7 days. The hotel owner takes the banknote in a hurry and rushes to his meat supplier to whom he owes $1000.

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So while there was no profit or income, everyone got free of their debts and the small town people now look optimistically towards their future!

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[object Object],Please give us your feedback at [email_address]

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External stimulas

1. External stimulus / fiscal stimulus / stimulus packages have become common terms after the world suffered one of its worst meltdowns. Let’s try and understand what they conceptually mean with the help of an interesting story…

2.

3. He asks for a room and puts a $1000 note as advance on the reception counter and books a room for use after 7 days. The hotel owner takes the banknote in a hurry and rushes to his meat supplier to whom he owes $1000.

4.

5.

6. So while there was no profit or income, everyone got free of their debts and the small town people now look optimistically towards their future!

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8.