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policies and broader social policies. Some evidence shows that negative economic shocks cause individuals to lose faith in political systems, though this erosion of trust is often temporary, rebounding over time. A narrow portion of voters may change their voting patterns in response to shock, which
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In the context of microeconomics, shocks are also studied at the household level, such as health, income, and consumption shocks. Negative individual and household economic shocks can result from job loss, for example, while positive shocks can come from winning the
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An inflationary shock happens when prices of commodities increase suddenly (e.g., after a decrease of government subsidies) while not all salaries are adjusted immediately throughout society (this results in a temporary loss of
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the relationship between household income shocks and household levels of consumption is studied to understand a household's ability to insure itself (testing the full-insurance hypothesis).
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A news shock is a change in current expectations of future technological progress, which could be induced by new information about potential technological developments.
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is an unexpected or unpredictable event that affects an economy, either positively or negatively. Technically, it is an unpredictable change in
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Economic shocks impact political preference. The experience of negative shocks such as job loss causes individuals to favor
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for many consumers); or that production costs begin to exceed corporate revenues (e.g. following energy price hikes).
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and usually results in price increases for a particular product. Supply shocks can be produced when
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factors—that is, factors unexplained by an economic model—which may influence
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is a sudden change of the pattern of private expenditure, especially of
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changes, without sufficient advance warning, its pattern of
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If the shock is due to constrained supply, it is termed a
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can include support for candidates and policies that are
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60:. Unsourced material may be challenged and removed.
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120:Learn how and when to remove this message
583:"Political Responses to Economic Shocks"
565:The New Palgrave Dictionary of Economics
27:Unexpected event that affects an economy
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365:resulting from a pipeline explosion at
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521:Dynamic stochastic general equilibrium
600:10.1146/annurev-polisci-050517-110713
563:(2008). "Impulse response function".
256:Industrialization in the Soviet Union
7:
58:adding citations to reliable sources
567:(2nd ed.). Palgrave Macmillan.
441:Stock exchanges in the wake of the
945:British credit crisis of 1772–1773
587:Annual Review of Political Science
391:A preference shock is a change in
363:2008 Western Australian gas crisis
246:Economic history of the Arab world
25:
658:Commonwealth of Nations countries
426:shock is an unexpected change of
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445:. After the initial panic, the
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654:recessions in the United States
45:needs additional citations for
581:Margalit, Yotam (2019-05-11).
1:
395:over consumption or leisure.
338:is the kind resulting from a
1400:1997 Asian financial crisis
1033:Civil War-era United States
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1176:Post–World War I recession
996:Post-Napoleonic Depression
463:development microeconomics
251:Economy of the Inca Empire
1086:2nd Industrial Revolution
1019:(1836–1838 and 1839–1843)
935:1st Industrial Revolution
703:Price-and-wage stickiness
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340:technological development
324:impulse response function
1367:1990s United States boom
1155:Financial crisis of 1914
1182:Depression of 1920–1921
1114:Depression of 1882–1885
1028:Early Victorian Britain
763:Real and nominal values
151:Particular histories of
1287:Recession of 1969–1970
1282:Recession of 1960–1961
1241:Recession of 1937–1938
531:Social risk management
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69:"Shock" economics
1405:Early 2000s recession
1372:Early 1990s recession
1324:Early 1980s recession
904:Commercial revolution
802:Nominal interest rate
541:Vector autoregression
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241:Economic antisemitism
971:Copper Panic of 1789
443:September 11 attacks
410:shock occurs when a
311:economic variables.
54:improve this article
1307:1973–1975 recession
1251:Post–WWII expansion
925:Great Frost of 1709
753:Neutrality of money
734:Classical dichotomy
650:Economic expansions
428:government spending
386:investment spending
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1149:Panic of 1910–1911
981:Panic of 1796–1797
807:Real interest rate
775:Economic expansion
461:. For example, in
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232:Prominent examples
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1270:Recession of 1953
1264:Recession of 1949
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768:Velocity of money
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561:Lütkepohl, Helmut
480:antiestablishment
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16:(Redirected from
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65:Find sources:
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43:This article
41:
37:
32:
31:
19:
1467:South Africa
1224:South Africa
1070:Black Friday
887:Unemployment
869:
744:Money supply
739:Disinflation
683:General glut
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420:money supply
412:central bank
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380:spending by
374:demand shock
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351:supply shock
348:
344:productivity
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52:Please help
47:verification
44:
1535:New Zealand
1493:2020–2022;
1457:New Zealand
1430:2007–2009;
1376:1990–1991;
1360:(1982–2007)
1328:1980–1982;
1300:(1973–1982)
1278:(1957–1958)
1272:(1953–1954)
1266:(1948–1949)
1254:(1945–1973)
1219:New Zealand
1202:1929–1939;
1178:(1918–1919)
1169:(1918–1939)
1151:(1910–1912)
1145:(1907–1908)
1139:(1902–1904)
1130:(1893–1897)
1124:(1890–1891)
1100:1873–1879;
1089:(1870–1914)
1072:(1869–1870)
1066:(1865–1867)
1057:(1857–1858)
1048:(1847–1848)
1036:(1840–1870)
1007:(1825–1826)
998:(1815–1821)
983:(1796–1799)
977:(1789–1793)
949:1772–1774;
938:(1760–1840)
916:(1430–1490)
914:Great Slump
907:(1000–1760)
853:Stagflation
812:Yield curve
758:Price level
422:control. A
393:preferences
378:consumption
361:occur. The
160:Advertising
1572:Categories
1500:Bangladesh
1437:Bangladesh
1081:Gilded Age
833:Depression
785:Stagnation
547:References
320:employment
309:endogenous
170:Capitalism
80:newspapers
1540:Singapore
1495:Australia
1472:Sri Lanka
1432:Australia
1378:Australia
1204:Australia
1194:1926–1927
1191:1923–1924
1157:(1913–14)
1133:1899–1900
989:1807–1810
986:1802–1804
967:1785–1788
892:Sahm rule
823:Recession
724:Inflation
720:Deflation
609:1094-2939
434:amounts.
382:consumers
359:disasters
355:accidents
305:exogenous
297:economics
208:Recession
110:July 2008
1525:Malaysia
1510:Botswana
1462:Pakistan
1452:Malaysia
956:Scotland
816:Inverted
780:Recovery
494:See also
484:populist
432:taxation
165:Business
137:a series
135:Part of
1530:Namibia
1118:1887–88
1060:1860–61
1051:1853–54
1042:1845–46
1013:1833–34
1010:1828–29
1001:1822–23
951:England
843:Rolling
729:Chronic
488:leftist
459:lottery
94:scholar
1555:Zambia
1515:Canada
1505:Belize
1442:Canada
1407:(2001)
1383:Canada
1330:Canada
1209:Canada
880:Supply
875:Demand
848:Shapes
838:Global
748:demand
673:Supply
607:
384:or of
185:Retail
96:
89:
82:
75:
67:
1520:India
1447:India
1214:India
870:Shock
688:Model
301:shock
223:Shock
180:Money
175:Labor
101:JSTOR
87:books
1260:1945
992:1812
656:and
652:and
605:ISSN
447:DJIA
318:and
299:, a
73:news
595:doi
430:or
418:or
357:or
316:GDP
295:In
56:by
1574::
603:.
591:22
589:.
585:.
573:^
486:,
482:,
406:A
372:A
346:.
334:A
326:.
139:on
1354:/
1083:/
1030:/
973:/
814:/
746:/
722:/
671:/
642:e
635:t
628:v
611:.
597::
284:e
277:t
270:v
123:)
117:(
112:)
108:(
98:·
91:·
84:·
77:·
50:.
20:)
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