globalization that allows governments to pursue expansionary

globalization that allows governments to pursue expansionary policies can be dangerous because it can lead to

Solution

Globalization that allows governments to pursue expansionary policies can be dangerous because it can lead to goods price inflation.Globalisation allows the government to borrow freely .An expansionary monetary leads to increase in economic growth and inflation.

Expansionary monetary policy increases money supply but decreases interest rate which encourage consumption spending that causes aggregate demand to increase.If economy already has full employment,it can produce more only if it increases factor income ultimately leading to inflation.