Monetary And Fiscal Flashcards
1
Q
Methods of fiscal policy
A
is the use of government revenue collection (mainly taxes) and expenditure (spending) to influence the economy.
2
Q
Monetary policy and the federal reserve
A
The goals of monetary policy are to promote maximum employment, stable prices and moderate long-term interest rates. By implementing effective monetary policy, the Fed can maintain stable prices, thereby supporting conditions for long-term economic growth and maximum employment.
