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Contractionary and expansionary monetary policy

Assignment Help Macroeconomics
Reference no: EM132476446

Monetary and fiscal policy instruments are used to affect the aggregate demand (AD) in the economy.

  1. What is the difference between contractionary and expansionary monetary policy? What is the difference between contractionary and expansionary fiscal policy? How does each policy affect the AD in the economy?
  2. What are the benefits and major problems of the fiscal policy and monetary policy?

Reference no: EM132476446

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