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What is the mixture of monetary and fiscal policies

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What is the mixture of monetary and fiscal policies that can cure rising inflation and overall payments deficit?

What is the mixture of monetary and fiscal policies that can cure insufficient aggregate demand and overall payments surplus?

A country with a fixed exchange rate and a deficit in all its international payments runs the risk of increasing inflation if it defends its fixed exchange rate by official intervention in the foreign exchange market. Do you agree or disagree? Why?

Reference no: EM132550824

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