ablokhin / Getty Images Monetary policy and fiscal policy refer to the two most widely recognized tools used to influence a nation's economic activity. Monetary policy is primarily concerned with ...

Monetary policy is how central banks influence the economy by raising or lowering the money supply. This is in contrast to fiscal policy, which is how the government uses its taxes and spending to ...

What monetary policy cannot be expected to do effectively under the current circumstances, however, is to compensate for fiscal policy if it is too contractionary: “Fiscal policy should take ...

Monetary policy and fiscal policy refer to the two most widely recognized tools used to influence a nation's economic activity. Monetary policy is primarily concerned with the management of ...