This topic contains a solution. Click here to go to the answer

Author Question: Discuss the differences in philosophy, key actors, and tools of fiscal and monetary policies. Should ... (Read 23 times)

waynest

  • Hero Member
  • *****
  • Posts: 553
Discuss the differences in philosophy, key actors, and tools of fiscal and monetary policies. Should the federal government give preference to one or the other? Why or why not?
 
  What will be an ideal response?

Question 2

Government policy that affects the performance of the economy as a whole is known as __________.
 
  a. microeconomic policy
  b. monetary policy
  c. macroeconomic policy
  d. fiscal policy



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

stallen

  • Sr. Member
  • ****
  • Posts: 336
Answer to Question 1

An ideal response will:
1, Discuss the difference between fiscal and monetary policies, noting that monetary policy affects the money supply and is primarily used as a tool to manage inflation, and fiscal policy is related to taxing and spending and is primarily used to address issues of unemployment.
2, Connect those different tools to the ideological positions of the left and the right.
3, Analyze the different origins of fiscal and monetary policies, noting that Congress and the president have primary responsibility for the former, while the Federal Reserve Board has the primary responsibility for monetary policy.
4, Compare the different tool sets of both policies, including monetary policy efforts at managing interest rates to either expand or contract the money supply to stimulate or slow down economic growth, and fiscal policy efforts to use taxation and government spending rates to help stimulate investment and employment.
5, Assert that under a specific set of circumstances, one policy menu is preferable to the other, depending on the government's interests, illustrating this through specific examples such as the recent stimulus package to reduce unemployment or the decision by the Federal Reserve to keep interest rates low to encourage borrowing.
6, Provide a concise and effective conclusion.

Answer to Question 2

c




waynest

  • Member
  • Posts: 553
Reply 2 on: Jul 10, 2018
:D TYSM


alexanderhamilton

  • Member
  • Posts: 334
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

Did you know?

Hyperthyroidism leads to an increased rate of metabolism and affects about 1% of women but only 0.1% of men. For most people, this increased metabolic rate causes the thyroid gland to become enlarged (known as a goiter).

Did you know?

Blood in the urine can be a sign of a kidney stone, glomerulonephritis, or other kidney problems.

Did you know?

Approximately 70% of expectant mothers report experiencing some symptoms of morning sickness during the first trimester of pregnancy.

Did you know?

As of mid-2016, 18.2 million people were receiving advanced retroviral therapy (ART) worldwide. This represents between 43–50% of the 34–39.8 million people living with HIV.

Did you know?

Critical care patients are twice as likely to receive the wrong medication. Of these errors, 20% are life-threatening, and 42% require additional life-sustaining treatments.

For a complete list of videos, visit our video library