Q: Discuss an example of a fiscal policy and monetary policy that is used to control inflation and how…
A: The exercise of control over the economy via the use of governmental spending and taxes is known as…
Q: True or False: Economists today believe monetary and fiscal policy can help reduce the magnitude of…
A: Monetary policy is defined as the macroeconomic policy that is formulated by the Central Bank.…
Q: What is the reason why fiscal policy should be in tune with monetary policy when the economy is in…
A: Fiscal policy can be defined as government policies and the spending pattern that the government…
Q: Complete the chart on benefits and drawbacks of monetary and fiscal policy
A: The usage of revenue raising and expenditure policies by the authority to ensure public income and…
Q: Analyze and compare fiscal and monetary policy in order the generate macroeconomic stability? (use…
A: Monetary policy and fiscal policy are two distinct tools that affect a country's economic activity.…
Q: How can one apply monetary policy and fiscal policy to the business cycle, budget surpluses, and…
A: Monetary policy: Monetary policy are the policy measures that are being taken by the central bank of…
Q: If the economy is experiencing unemployment, the most appropriate government action to shift the…
A: Unemployment refers to a situation where the workers are ready to offer their labor at the existing…
Q: Explain what are the lags in macroeconomic policies. Do these lags have more effect on monetary…
A: Macroeconomic policies are used to stabilize the economy in different phases of the business cycle.…
Q: Why do price levels increase when the government adopts fiscal or monetary policy to correct the…
A: The expansionary fiscal policy i.e. increase in public spending and reduction on taxes or the…
Q: Explain Fiscal and Monetary Stimulus?
A: Stimulus refers to the tempts to implement FiscalPolicies(FP) and Monetary Policies(MP) to stimulate…
Q: When the economy gets into serious problems, the government has two policies that offer the…
A: Equilibrium occurs at the intersection of AD and AS. If the equilibrium level of GDP is less than…
Q: Why does the budget require a forecast of the economy? Under what circumstances would actual…
A: A budget is a financial document or the financial plan of an economy which includes the planned…
Q: In the graph that you have drawn in question 1, what is the state of the economy? Using fiscal…
A: The graph depicts the short run and long run aggregate supply curve and aggregate demand curve. In…
Q: Explain how policy makers can perfect their craft for the betterment of society
A: Public Policy is significant, on the grounds that it influences the ordinary person. Changes to…
Q: During a recession, the government can help the economy by a. decreasing taxes. b. buying…
A: During a recession, the government can help the economy by decreasing taxes as it will allow public…
Q: You read the following headline in the newspaper: "Following an expansion of military efforts, the…
A: "In macro-economics there are two kinds of policies fiscal policy and monetary policy. Fiscal policy…
Q: Which of the monetary or fiscal policy tools do you think would be most effective at improving the…
A: Monetary policy is given down by the CB. It is a management of money supply and interest rate. Its…
Q: Assume the economy has entered a recession. Identify two fiscal and two monetary policy actions that…
A: please find the answer below.
Q: What is the difference between fiscal and monetary policy? What fiscal and monetary steps can the…
A: The tools of fiscal and monetary policy for keeping the growth of the economy stable include low…
Q: Which economic policy, fiscal policy or monetary policy, is preferable for undesired increases in…
A: Continuous rise in prices leads to inflation. This could be controlled by contractionary monetary…
Q: Provide arguments why should policymakers use fiscal and monetary instruments to control aggregate…
A: Meaning of Aggregate Demand and Aggregate Supply: The term aggregate demand refers to the…
Q: How is fiscal and monetary policy used by the Canadian government if the economy seems to be…
A: When the economy is slipping into recession the government needs to implement an expansionary fiscal…
Q: If the market is expanding (booming), what monetary and fiscal policies could the government use to…
A: The monetary and fiscal policies that can be used to tackle a boom in the economy are explained…
Q: Which of the following is true according to mainstream economics? If a balanced budget amendment to…
A: Many prominent economists do not believe that a balanced budget is necessary to address the US…
Q: What type of policy is made up of fiscal and monetary policy?
A: Both fiscal and monetary policies are implemented with the aim of making the economy free from…
Q: Explain what kind of fiscal policy and what kind of monetary policy are likely to reduce GDP.
A: Fiscal policy: - it is a tool of the government of a country in which the government adjusts its…
Q: compare fiscal and monetary policy in order the generate macroeconomic stability.
A: Government strategies and methods used to manage macroeconomic variables and financial markets are…
Q: How is monetary policy linked with fiscal policy? Comment.
A:
Q: how can i use fiscal and monetary policy
A: Depression is defined as a severe and prolonged recession. A recession is a situation of declining…
Q: Which of the monetary or fiscal policy tools do you think would be most effective at improving the…
A: Fiscal policy refers to the government policy that stabilizes the economy through bring changes in…
Q: if you were the leader of a country and you had control of fiscal and monetary policies, what would…
A: Fiscal Policy: The fiscal policy is the use of government revenue (taxes or tax cut) and the…
Q: Differentiate between fiscal and monetary policy in brief.
A: Monetary policy: When the policy measures are being taken by the central bank of a country in order…
Q: The president has to make any changes to the economy through the U.S Mint? True or False
A: The purpose of the country U Mint is to manufacture, collect, and distribute precious metals,…
Q: Tools of monetary policy and fiscal policy?
A: Fiscal policy refers to the government policy that stabilizes the economy through bring changes in…
Q: Which statement is most likely consistent with the classical view? A.The Congress should set…
A: The classical economic theory developed shortly after the birth of Western capitalism. It refers to…
Q: Do you think policy makers should attempt to stabilize the economy ? Why ?
A: Every country has its goals and these goals can be achieved by using micro and macro tools in an…
Q: Explain how can we use fiscal and monetary policy if we have a very serious depression in the…
A: When there is a serious depression, then the level of output in the economy is low, also the levels…
Q: A country can use a combination of monetary and fiscal policies to stabilize or control their…
A: The two most well-known mechanisms for influencing a country's economic activity are monetary policy…
Q: what is the difference between monetary and fiscal policy?
A: Economic policies can be defined as a course of actions that governments take in the economic field.
Q: Monetary and fiscal policy play important roles in economic stimulation and or stabilization in what…
A: The government can stabilize the economy with the help of Monetary and Fiscal Policy.Fiscal Policy:…
Q: Does the monetary and fiscal policy have lags? Give your explanation
A: Expenditure lags for fiscal policy and monetary policyMonetary policy takes more time to stabilize…
Q: Which has the longer lag-monetary or fiscal policy? Which has the longer outside lag? Give reasons…
A: Monetary policy changes regularly take a specific measure of timetable months as long as two…
Step by step
Solved in 2 steps
