Clintonomics

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DEFINITION of 'Clintonomics'

The economic policies used by Bill Clinton, who was president of the United States from 1993 to 2001. Clintonomics refers both to the fiscal and monetary policies employed during the period, which was marked by low interest rates, trade agreements such as NAFTA and the rapid growth of the stock market.


The term Clintonomics is a portmanteau of the words "Clinton" and "economics".

INVESTOPEDIA EXPLAINS 'Clintonomics'

Bill Clinton came to office while the United States was still recovering from a recession. He inherited Alan Greenspan as the chairman of the Federal Reserve, whose policies helped keep inflation at a relatively low rate during the advent of the internet era. Some economists believe that Clintonomics was the precipitating cause for the recession in the early 2000s, as interest rates were kept at such a low level as to create an environment marked by over-borrowing.

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