In an effort to move the economy out of a recession, the federal
In an effort to move the economy out of a recession, the federal government would engage in expansionary economic policies. Respond to the following points in your paper on the actions the government would take to address expansionary fiscal and monetary policies:Expansionary Fiscal policyExplain the actions the federal government would take while engaging in expansionary fiscal policy in terms of the following:The necessary change in taxes and government spending,The effect on aggregate demand, gdp, and employmentExpansionary monetary policyThe three tools the federal reserve bank ( The Fed) uses when conducting monetary policy are the required reserve ratio, the discount rate and open market operationsExplain the actions of the fed in regard to the three toolsWhen the required reserve ratio is increased or decreasedwhen the discount rate is increased or decreasedBuying or selling government securities when conducting expansionary monetary policyExplain how these actions would affect the money supply, interest rate , spending aggregrate demand , Gdp and employmentApa format and minimum of 3 pages to max 5
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