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Explain what is meant by fiscal policy. Give 2 examples of tools that can be used to implement fiscal policy. What are some of the problems with using fiscal policy?

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Nusrat Fatima
Nusrat FatimaLv10
28 Sep 2019
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Related questions

For many years, the overall economic policy of the United States has been a balancing act between fiscal policy and monetary policy. Explain what is meant by the following:

(A). Fiscal policy

How is fiscal policy set?

Who sets fiscal policy?

How does this policy affect the economy?

(B) Monetary policy

How is monetary policy set?

Who sets monetary policy?

How does this policy affect inflation, the economy?

Using your knowledge of the amount of time required for the many components of the federal government to agree upon and implement policy changes (i.e., tax codes, the welfare system), can you think of any problems with using fiscal policy to stabilize the economy?

What would be the appropriate fiscal policy to help our economy? Please evaluate how our economy is doing and why you selected your respective fiscal policy action. What are some of the challenges of using fiscal policy to stabilize our economy?

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