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Easy money does not win elections

Researchers argue that monetary stimulus, or 'easy money', does not translate into electoral success for incumbent governments. Writing for CEPR, the analysis suggests voters do not reward loose monetary policy at the ballot box, challenging assumptions that central bank easing can boost the political fortunes of sitting leaders.

Why now: The finding challenges a common political assumption that economic stimulus helps incumbents win votes, making it relevant amid current debates over monetary policy.

CEPR

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