Contractionary Policy needed: When demand-pull inflation occurs, a shift of AD to the right in the vertical range of AS, then contractionary policy is the remedy.
a. We will discover that fiscal policy measures automatically adjust government expenditures and tax revenues when the economy moves through the business cycle phases. Notes Olivier Blanchard May 9, 2007 Nr. What is Fiscal Policy?,igcse notes Fiscal Policy. The Goals of Macroeconomic Policy Macroeconomic policy o Monetary Policy: The Federal Reserve o Fiscal Policy: The Treasury o Goals: (1) low unemployment, (2) price stability, (3) economic growth Economic growth: To potential output, or to increase potential output. There are many ne textbooks for macroeconomics at the intermediate level currently available. Fiscal policy. RBI Monetary Policy is the important banking awareness topic for banks exams. LECTURE NOTES Chapter 18: Fiscal Policy 1. Fiscal and Monetary Policy Shock Notes These notes describe key points of the shocks covered in ch.
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