Answered

Write M for Monetary policy or F for Fiscal policy.
5.1)
5.2)
controlling supply of money
changing the discount rate that the Federal Reserve charges for money borrowed by
member banks
creating a demand for goods and services
5.3)
5.4)
raising taxes to slow the economy down
5.5)
basing the economy on surplus or deficit spending
5.6)
lowering the reserve ratio to encourage more lending of money
5.7)
spending more than the government takes in



Answer :

GinnyAnswer

Final answer:

Fiscal policy is government actions, while Monetary policy is controlled by the Federal Reserve.


Explanation:

Fiscal policy (F) involves actions taken by the government, such as changing tax rates or government spending, to influence the economy. An example is raising taxes to slow the economy down. On the other hand, Monetary policy (M) is controlled by the Federal Reserve and involves managing the money supply to achieve economic goals. An example is changing the discount rate to impact borrowing.


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