What is the difference between fiscal and monetary policy

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Reference no: EM132550543

a. What is the difference between fiscal and monetary policy?

b. How does the fiscal balance vary with the business cycle?

c. Why is it difficult to 'fine tune' the economy or level of economic activity using fiscal policy?

d. Why is it difficult to use monetary policy as a precise means of controlling aggregate demand?

Reference no: EM132550543

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