Fiscal policy is policy enacted by the legislative branch of government. It deals with tax policy and government spending. Monetary policy is enacted by a government's central bank.

Both fiscal and monetary policy affect aggregate demand. Fiscal policy impacts aggregate demand through changes in government spending, which indirectly impact consumer and investor spending, as well.

Monetary policy and fiscal policy both have their time constraints. For example, the FOMC can increase (or decrease) the federal funds rate target range during its policy meetings, which happen ...

Both fiscal and monetary policy are tools used to keep the U.S. economy healthy. Both can affect your personal economy. But that’s where the similarities end.

Endnotes. 1. Changes in monetary policy normally take effect on the economy with a lag of between three quarters and two years. The lag between a change in fiscal policy and its effect on output tends ...

Monetary policy and fiscal policy swap dominant roles over the decades. We're currently in a fiscal dominance period; unilateral monetary policy options are limited. How long-term debt cycles ...

Summary. Monetary and fiscal policy respond to economic conditions, with the appropriate response dependent on the balance of supply and demand in goods and services markets and capital markets.

Neutral is better than negative, and in fact, job growth accelerated once fiscal policy moved to at least “do-no-harm” mode. Perhaps that’s all we can ask from this Congress. No unforced errors.

While fiscal and monetary policies work well in theory, there are problems that may hinder business operations. Fiscal policy involves time lags. If the economy is slumping, ...

A professor of monetary economics, Prof. Gbenga Moses Niyi Omofa, has said Nigeria needs a strong institutional mechanism to ...

Both fiscal and monetary policy are tools used to keep the U.S. economy healthy. Both can affect your personal economy. But that's where the similarities end. There's actually a big difference ...