What kind of monetray policy do you recommend

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You are the economic advisor of a hypothetical country Macronesia. You country has big current account deficit, inflation and unemployment problems

a) Explain what kind of monetray policy do you recommend the Central Bank of Macronesia to follow.

b) Explain what kind of fiscal policy do you recommend the Central Bank of Macronesia to follow.

c) What would be the impact of your recommended policies on interest rate and exchange rate.

Reference no: EM132559712

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