FISCAL MONETARY AND TRADE POLICY PDF



Fiscal Monetary And Trade Policy Pdf

FISCAL POLICY MONETARY POLICY AND CENTRAL BANK. This study empirically examines the effect of monetary, fiscal and trade policy on economic growth in Pakistan using annual time series data from 1981 to 2009. Money supply, government expenditure and trade openness are used as proxies of monetary, fiscal and trade policy respectively., and discretionary versus automated policy, this title may be too narrow. In this sense, it might better have read “The Future of Discretionary Fiscal—and Monetary—Policy.” At the outset, let’s clarify what is and what isn’t at issue in today’s discussion of fiscal-monetary policy, both inside Digitized for FRASER.

What is the difference between fiscal and monetary policy

Monetary-fiscal-trade policy and economic growth in. Closed Economy (no exchange rate or trade sector) starting with less than full employment - short run effects Fiscal Policy (expansionary) G ↑ and/or T ↓ G and C ↑ Y ↑ by a multiplier times the change in (C+I+G) C↑, G↑, but I↓ Gov’tBorrowing ↑ → int rate ↑ → Investment ↓ (this is …, 4/10/2019 · 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.

Two Primary Tools of fiscal policy. The main tools of fiscal policy of any government are two. Let’s have a look at them – #1 – Taxes. This is the main tool through which the government collects money from the public. The government collects money from the public … Closed Economy (no exchange rate or trade sector) starting with less than full employment - short run effects Fiscal Policy (expansionary) G ↑ and/or T ↓ G and C ↑ Y ↑ by a multiplier times the change in (C+I+G) C↑, G↑, but I↓ Gov’tBorrowing ↑ → int rate ↑ → Investment ↓ (this is …

2. Fiscal policy should aim at equitable distribution of wealth and income. It means that fiscal policy should be so designed as to bring about reasonable equality of incomes among different groups by transferring wealth from the rich to the poor. 3. Another objective of fiscal policy is … Monetary policy is typically implemented by a central bank, while fiscal policy decisions are set by the national government. However, both monetary and fiscal policy may be used to influence the performance of the economy in the short run. In general, a stimulative monetary policy is expected to

5/6/2014 · In this video I overview fiscal and monetary policy and how the economy adjust in the long run. Keep in mind that fiscal and monetary policy shift aggregate demand while waiting for the economy to industrialized countries, after several decades of monetary and fiscal fine-tuning. In the 1980s, OECD countries effectively reached a consensus regarding four principles that would provide the basis for sustained economic growth: sound monetary policy, sound fiscal policy, trade liberalization, and structural reforms (Dodge 2003b).

Fiscal Policy and the Inflation Target Peter Tulip RDP 2014-02. However, discussions of monetary policy have neglected this fiscal activism, leading to over-estimates of the costs of the zero lower bound and, hence, of the appropriate inflation target. To rectify this, I include countercyclical fiscal trade-off: lower inflation has Managing a Liquidity Trap: Monetary and Fiscal Policy Iván Werning, MIT This Version: March 2012 Abstract I study monetary and fiscal policy in liquidity trap scenarios, where the zero bound on the nominal interest rate is binding. I work with a continuous-time version of the standard New Keynesian model. Without commitment the economy

In this reading, we have sought to explain the practices of both monetary and fiscal policy. Both can have a significant impact on economic activity, and it is for this reason that financial analysts need to be aware of the tools of both monetary and fiscal policy, the goals of the monetary and fiscal authorities, and most important the monetary and fiscal policy transmission mechanisms. The reforms of the tariff and trade controls are the basis of this chapter. Tariff reform has direct consequences on the rest of the economy leading to an analysis of the fiscal policy and domestic taxation. It examines the changes in direct and indirect taxes imposed by the central states. It also examines the continuing role of subsidies, using agriculture as an example, as a negative effect

10/21/2019 · Fiscal policy is how Congress and other elected officials influence the economy using spending and taxation. It is used in conjunction with the monetary policy implemented by central banks, and it influences the economy using the money supply and interest rates. • The Monetary Policy aims to maintain price stability, full employment and economic growth. • The Monetary Policy is different from Fiscal Policy as the former brings about a change in the economy by changing money supply and interest rate, whereas fiscal policy is a broader tool with the government.

The Effectiveness of Monetary Policy and Fiscal Policy in Bangladesh Labonnya Sadia Chowdhury University of Liberal Arts, Bangladesh Munshi Naser Ibne Afzal Shahjalal University of Science and Technology, Bangladesh Keynesian and the monetarist theorists have been debating for a long time on the effectiveness of fiscal and monetary policy. This study empirically examines the effect of monetary, fiscal and trade policy on economic growth in Pakistan using annual time series data from 1981 to 2009. Money supply, government expenditure and trade openness are used as proxies of monetary, fiscal and trade policy respectively.

Fiscal policy Wikipedia

fiscal monetary and trade policy pdf

Fiscal policy Wikipedia. Monetary, Credit, Foreign Trade and Exchange Policy Guidelines for Fiscal Years 2010/2011 Central Bank of Nigeria January 5, 2010 1 SECTION ONE 1.0 INTRODUCTION The Central Bank of Nigeria (CBN) adopted a medium-term framework for the conduct of monetary policy in 2002 based on the premise that it impacts on the, In Nigeria, monetary policy has been used since the Central Bank of Nigeria (CBN) was saddled the recommended the inclusion of fiscal restraints in the policy package. Asogu (1991) adopted a general econometric approach to identify and assess the relative contribution (the terms of trade and the US consumer price index). The empirical.

The Effectiveness of Monetary Policy and Fiscal Policy in

fiscal monetary and trade policy pdf

FISCAL MONETARY AND TRADE POLICIES. THE SIGNIFICANCE. Fiscal policy refers to the use of government spending and tax policies to influence economic conditions, including demand for goods and services, employment, inflation, and economic growth. The 7/26/2018 · The most important difference between the fiscal policy and monetary policy is provided here in tabular form. Fiscal policy is mainly related to revenues generated through taxes and its application in various sectors which affects the economy, whereas monetary policy is ….

fiscal monetary and trade policy pdf


Two Primary Tools of fiscal policy. The main tools of fiscal policy of any government are two. Let’s have a look at them – #1 – Taxes. This is the main tool through which the government collects money from the public. The government collects money from the public … 12/8/2016 · monetary and fiscal policies in india. MONETARY and FISCAL POLICY-- PPT 1. MONETARY POLICY Monetary policy refers to the use of instruments under the control of the central bank (RBI) to regulate the availability, cost and use of money and credit. Foreign trade policy of …

industrialized countries, after several decades of monetary and fiscal fine-tuning. In the 1980s, OECD countries effectively reached a consensus regarding four principles that would provide the basis for sustained economic growth: sound monetary policy, sound fiscal policy, trade liberalization, and structural reforms (Dodge 2003b). FISCAL POLICY, MONETARY POLICY AND CENTRAL BANK INDEPENDENCE 4 II. INFORMAL DESCRIPTION OF THE FISCAL THEORY OF THE PRICE LEVEL The fiscal theory of the price level is based on a simple notion.1 The price level is not only the rate at which currency trades for goods in the economy, it is also the rate

Keywords: Foreign direct investment, fiscal policy, monetary policy, trade policy. ----- 1. Introduction In recent times, the world has witnessed an increase in the global integration of economies and liberalization of trade therefore resulting in the tremendous … 2. Fiscal policy should aim at equitable distribution of wealth and income. It means that fiscal policy should be so designed as to bring about reasonable equality of incomes among different groups by transferring wealth from the rich to the poor. 3. Another objective of fiscal policy is …

Fiscal policy can be distinguished from monetary policy, in that fiscal policy deals with taxation and government spending and is often administered by a government department; while monetary policy deals with the money supply, interest rates and is often administered by a country's central bank. Both fiscal and monetary policies influence a In this reading, we have sought to explain the practices of both monetary and fiscal policy. Both can have a significant impact on economic activity, and it is for this reason that financial analysts need to be aware of the tools of both monetary and fiscal policy, the goals of the monetary and fiscal authorities, and most important the monetary and fiscal policy transmission mechanisms.

Lastly, the International Monetary Fund has provided some ideas on the role of fiscal policy in the Great Recession (IMF, 2013, [8]). Three conclusions should be pointed out. Firstly, the crisis has provided evidence that fiscal policy is an appropriate countercyclical policy tool under some circumstances. 5/6/2014 · In this video I overview fiscal and monetary policy and how the economy adjust in the long run. Keep in mind that fiscal and monetary policy shift aggregate demand while waiting for the economy to

2 Fiscal Policy Reconsidered Abstract For decades, economists looked to monetary policy, not fiscal policy, both when the economy needed stimulus and when it needed restraint. This clear preference rested on two beliefs: (1) that fiscal policy is too slow and too political, and (2) that monetary policy can always do the job by itself. typically undermine countries’ fiscal positions, as well as social and political stability and cohesion. 6. The severity of such crises required extraordinary monetary policy accommodation, all the more so when fiscal policy was constrained by high and rising public debt burdens. In

fiscal monetary and trade policy pdf

industrialized countries, after several decades of monetary and fiscal fine-tuning. In the 1980s, OECD countries effectively reached a consensus regarding four principles that would provide the basis for sustained economic growth: sound monetary policy, sound fiscal policy, trade liberalization, and structural reforms (Dodge 2003b). 6. Concluding Remarks and Policy Implications In large number of literature has widely been discussed the relationship between monetary, fiscal and trade policy with economic growth. This study empirically examines the effect of monetary, fiscal and trade policy on economic growth of Pakistan using annual time series data from 1981 to 2009.

What is the difference between fiscal and monetary policy

fiscal monetary and trade policy pdf

Level I CFA Economics Monetary and Fiscal Policy-Lecture. Fiscal policy refers to the use of government spending and tax policies to influence economic conditions, including demand for goods and services, employment, inflation, and economic growth. The, 6. Concluding Remarks and Policy Implications In large number of literature has widely been discussed the relationship between monetary, fiscal and trade policy with economic growth. This study empirically examines the effect of monetary, fiscal and trade policy on economic growth of Pakistan using annual time series data from 1981 to 2009..

Fiscal Policy Definition Types & Tools of Fiscal Policies

MONETARY and FISCAL POLICY-- PPT SlideShare. In Nigeria, monetary policy has been used since the Central Bank of Nigeria (CBN) was saddled the recommended the inclusion of fiscal restraints in the policy package. Asogu (1991) adopted a general econometric approach to identify and assess the relative contribution (the terms of trade and the US consumer price index). The empirical, 12/8/2016 · monetary and fiscal policies in india. MONETARY and FISCAL POLICY-- PPT 1. MONETARY POLICY Monetary policy refers to the use of instruments under the control of the central bank (RBI) to regulate the availability, cost and use of money and credit. Foreign trade policy of ….

The study investigated the effects of monetary policy, fiscal policy, and trade policy on economic growth in Ghana using an annual time series data from 1965 to 2013 by employing the Fiscal policy can be distinguished from monetary policy, in that fiscal policy deals with taxation and government spending and is often administered by a government department; while monetary policy deals with the money supply, interest rates and is often administered by a country's central bank. Both fiscal and monetary policies influence a

2. Fiscal policy should aim at equitable distribution of wealth and income. It means that fiscal policy should be so designed as to bring about reasonable equality of incomes among different groups by transferring wealth from the rich to the poor. 3. Another objective of fiscal policy is … Two Primary Tools of fiscal policy. The main tools of fiscal policy of any government are two. Let’s have a look at them – #1 – Taxes. This is the main tool through which the government collects money from the public. The government collects money from the public …

Monetary, Credit, Foreign Trade and Exchange Policy Guidelines for Fiscal Years 2010/2011 Central Bank of Nigeria January 5, 2010 1 SECTION ONE 1.0 INTRODUCTION The Central Bank of Nigeria (CBN) adopted a medium-term framework for the conduct of monetary policy in 2002 based on the premise that it impacts on the Fiscal policy refers to the use of government spending and tax policies to influence economic conditions, including demand for goods and services, employment, inflation, and economic growth. The

Monetary policy is typically implemented by a central bank, while fiscal policy decisions are set by the national government. However, both monetary and fiscal policy may be used to influence the performance of the economy in the short run. In general, a stimulative monetary policy is expected to Keywords: Foreign direct investment, fiscal policy, monetary policy, trade policy. ----- 1. Introduction In recent times, the world has witnessed an increase in the global integration of economies and liberalization of trade therefore resulting in the tremendous …

Monetary policy is a central bank's actions and communications that manage the money supply.That includes credit, cash, checks, and money market mutual funds.. The most important of these forms of money is credit. It includes loans, bonds, and mortgages. Monetary, Credit, Foreign Trade and Exchange Policy Guidelines for Fiscal Years 2010/2011 Central Bank of Nigeria January 5, 2010 1 SECTION ONE 1.0 INTRODUCTION The Central Bank of Nigeria (CBN) adopted a medium-term framework for the conduct of monetary policy in 2002 based on the premise that it impacts on the

The reforms of the tariff and trade controls are the basis of this chapter. Tariff reform has direct consequences on the rest of the economy leading to an analysis of the fiscal policy and domestic taxation. It examines the changes in direct and indirect taxes imposed by the central states. It also examines the continuing role of subsidies, using agriculture as an example, as a negative effect Fiscal Limits and Monetary Policy Eric M. Leeper. NBER Working Paper No. 18877 Issued in March 2013 NBER Program(s):Economic Fluctuations and Growth Every economy faces a "fiscal limit" that delivers the maximum government debt-GDP ratio that can be sustained without appreciable risk …

Fiscal policy can be distinguished from monetary policy, in that fiscal policy deals with taxation and government spending and is often administered by a government department; while monetary policy deals with the money supply, interest rates and is often administered by a country's central bank. Both fiscal and monetary policies influence a 10/21/2019 · Fiscal policy is how Congress and other elected officials influence the economy using spending and taxation. It is used in conjunction with the monetary policy implemented by central banks, and it influences the economy using the money supply and interest rates.

The Effectiveness of Monetary Policy and Fiscal Policy in Bangladesh Labonnya Sadia Chowdhury University of Liberal Arts, Bangladesh Munshi Naser Ibne Afzal Shahjalal University of Science and Technology, Bangladesh Keynesian and the monetarist theorists have been debating for a long time on the effectiveness of fiscal and monetary policy. 2 Fiscal Policy Reconsidered Abstract For decades, economists looked to monetary policy, not fiscal policy, both when the economy needed stimulus and when it needed restraint. This clear preference rested on two beliefs: (1) that fiscal policy is too slow and too political, and (2) that monetary policy can always do the job by itself.

The reforms of the tariff and trade controls are the basis of this chapter. Tariff reform has direct consequences on the rest of the economy leading to an analysis of the fiscal policy and domestic taxation. It examines the changes in direct and indirect taxes imposed by the central states. It also examines the continuing role of subsidies, using agriculture as an example, as a negative effect This study empirically examines the effect of monetary, fiscal and trade policy on economic growth in Pakistan using annual time series data from 1981 to 2009. Money supply, government expenditure and trade openness are used as proxies of monetary, fiscal and trade policy respectively.

typically undermine countries’ fiscal positions, as well as social and political stability and cohesion. 6. The severity of such crises required extraordinary monetary policy accommodation, all the more so when fiscal policy was constrained by high and rising public debt burdens. In Monetary, Credit, Foreign Trade and Exchange Policy Guidelines for Fiscal Years 2010/2011 Central Bank of Nigeria January 5, 2010 1 SECTION ONE 1.0 INTRODUCTION The Central Bank of Nigeria (CBN) adopted a medium-term framework for the conduct of monetary policy in 2002 based on the premise that it impacts on the

2 Fiscal Policy Reconsidered Abstract For decades, economists looked to monetary policy, not fiscal policy, both when the economy needed stimulus and when it needed restraint. This clear preference rested on two beliefs: (1) that fiscal policy is too slow and too political, and (2) that monetary policy can always do the job by itself. Fiscal policy refers to the use of government spending and tax policies to influence economic conditions, including demand for goods and services, employment, inflation, and economic growth. The

Monetary policy is typically implemented by a central bank, while fiscal policy decisions are set by the national government. However, both monetary and fiscal policy may be used to influence the performance of the economy in the short run. In general, a stimulative monetary policy is expected to In developed countries, monetary policy has been generally formed separately from fiscal policy, which refers to taxation, government spending, and associated borrowing. Monetary policy is referred to as being either expansionary or contractionary. Expansionary policy occurs when a monetary authority uses its tools to stimulate the economy.

Monetary policy Wikipedia. China’s monetary and fiscal policy Li Ruogu In the past few years, the Chinese government has been pursuing an active fiscal policy to finance key construction projects by issuing government debt. Meanwhile, sound monetary policy has been implemented in coordination with the fiscal policy. With the coordination of the two policies, the trend, on fiscal policy, monetary policy and exchange rate management. Section 4 constructs a new model on the role of fiscal guarantees in promoting infrastructural investment when there are strategic complementarities across sectors. The last section goes beyond these topics and, in ….

Managing a Liquidity Trap Monetary and Fiscal Policy

fiscal monetary and trade policy pdf

The Rise of the Indian Economy Fiscal Monetary and Other. The reforms of the tariff and trade controls are the basis of this chapter. Tariff reform has direct consequences on the rest of the economy leading to an analysis of the fiscal policy and domestic taxation. It examines the changes in direct and indirect taxes imposed by the central states. It also examines the continuing role of subsidies, using agriculture as an example, as a negative effect, 5/6/2014 · In this video I overview fiscal and monetary policy and how the economy adjust in the long run. Keep in mind that fiscal and monetary policy shift aggregate demand while waiting for the economy to.

Fiscal Policy Definition Types & Tools of Fiscal Policies

fiscal monetary and trade policy pdf

Fiscal policy Wikipedia. 1/10/2018 · This video is valid for both 2018 & 2019 CFA exams. This CFA exam prep video lecture covers: Monetary policy - Money - The supply and demand for money - The Fisher Effect For the COMPLETE SET of 2. Fiscal policy should aim at equitable distribution of wealth and income. It means that fiscal policy should be so designed as to bring about reasonable equality of incomes among different groups by transferring wealth from the rich to the poor. 3. Another objective of fiscal policy is ….

fiscal monetary and trade policy pdf


This study empirically examines the effect of monetary, fiscal and trade policy on economic growth in Pakistan using annual time series data from 1981 to 2009. Money supply, government expenditure and trade openness are used as proxies of monetary, fiscal and trade policy respectively. 12/8/2016 · monetary and fiscal policies in india. MONETARY and FISCAL POLICY-- PPT 1. MONETARY POLICY Monetary policy refers to the use of instruments under the control of the central bank (RBI) to regulate the availability, cost and use of money and credit. Foreign trade policy of …

STATEMENT ON MONETARY POLICY FEBRUARY 2018 5 1. International Economic Developments There was a broad-based pick-up in global economic growth in 2017. The Chinese economy continued to grow at a solid rate. GDP growth increased in the major advanced economies, from rates that were already above estimates of potential growth. Global merchandise industrialized countries, after several decades of monetary and fiscal fine-tuning. In the 1980s, OECD countries effectively reached a consensus regarding four principles that would provide the basis for sustained economic growth: sound monetary policy, sound fiscal policy, trade liberalization, and structural reforms (Dodge 2003b).

• The Monetary Policy aims to maintain price stability, full employment and economic growth. • The Monetary Policy is different from Fiscal Policy as the former brings about a change in the economy by changing money supply and interest rate, whereas fiscal policy is a broader tool with the government. 1/10/2018 · This video is valid for both 2018 & 2019 CFA exams. This CFA exam prep video lecture covers: Monetary policy - Money - The supply and demand for money - The Fisher Effect For the COMPLETE SET of

6. Concluding Remarks and Policy Implications In large number of literature has widely been discussed the relationship between monetary, fiscal and trade policy with economic growth. This study empirically examines the effect of monetary, fiscal and trade policy on economic growth of Pakistan using annual time series data from 1981 to 2009. Monetary policy is a central bank's actions and communications that manage the money supply.That includes credit, cash, checks, and money market mutual funds.. The most important of these forms of money is credit. It includes loans, bonds, and mortgages.

Closed Economy (no exchange rate or trade sector) starting with less than full employment - short run effects Fiscal Policy (expansionary) G ↑ and/or T ↓ G and C ↑ Y ↑ by a multiplier times the change in (C+I+G) C↑, G↑, but I↓ Gov’tBorrowing ↑ → int rate ↑ → Investment ↓ (this is … 5/6/2014 · In this video I overview fiscal and monetary policy and how the economy adjust in the long run. Keep in mind that fiscal and monetary policy shift aggregate demand while waiting for the economy to

STATEMENT ON MONETARY POLICY FEBRUARY 2018 5 1. International Economic Developments There was a broad-based pick-up in global economic growth in 2017. The Chinese economy continued to grow at a solid rate. GDP growth increased in the major advanced economies, from rates that were already above estimates of potential growth. Global merchandise 2. Fiscal policy should aim at equitable distribution of wealth and income. It means that fiscal policy should be so designed as to bring about reasonable equality of incomes among different groups by transferring wealth from the rich to the poor. 3. Another objective of fiscal policy is …

2 Fiscal Policy Reconsidered Abstract For decades, economists looked to monetary policy, not fiscal policy, both when the economy needed stimulus and when it needed restraint. This clear preference rested on two beliefs: (1) that fiscal policy is too slow and too political, and (2) that monetary policy can always do the job by itself. Keywords: Foreign direct investment, fiscal policy, monetary policy, trade policy. ----- 1. Introduction In recent times, the world has witnessed an increase in the global integration of economies and liberalization of trade therefore resulting in the tremendous …

Monetary policy is typically implemented by a central bank, while fiscal policy decisions are set by the national government. However, both monetary and fiscal policy may be used to influence the performance of the economy in the short run. In general, a stimulative monetary policy is expected to 6. Concluding Remarks and Policy Implications In large number of literature has widely been discussed the relationship between monetary, fiscal and trade policy with economic growth. This study empirically examines the effect of monetary, fiscal and trade policy on economic growth of Pakistan using annual time series data from 1981 to 2009.

5/6/2014 · In this video I overview fiscal and monetary policy and how the economy adjust in the long run. Keep in mind that fiscal and monetary policy shift aggregate demand while waiting for the economy to In Nigeria, monetary policy has been used since the Central Bank of Nigeria (CBN) was saddled the recommended the inclusion of fiscal restraints in the policy package. Asogu (1991) adopted a general econometric approach to identify and assess the relative contribution (the terms of trade and the US consumer price index). The empirical

Monetary policy influences the level of nominal interest rates, the currency and the average rate of inflation in the economy. The relationship between inflation and interest rates is an example of a policy rule. A monetary policy rule describes the way in which the Central Bank adjusts the policy as a reaction to economic circumstances. Fiscal Limits and Monetary Policy Eric M. Leeper. NBER Working Paper No. 18877 Issued in March 2013 NBER Program(s):Economic Fluctuations and Growth Every economy faces a "fiscal limit" that delivers the maximum government debt-GDP ratio that can be sustained without appreciable risk …

China’s monetary and fiscal policy Li Ruogu In the past few years, the Chinese government has been pursuing an active fiscal policy to finance key construction projects by issuing government debt. Meanwhile, sound monetary policy has been implemented in coordination with the fiscal policy. With the coordination of the two policies, the trend Keywords: Foreign direct investment, fiscal policy, monetary policy, trade policy. ----- 1. Introduction In recent times, the world has witnessed an increase in the global integration of economies and liberalization of trade therefore resulting in the tremendous …

This study empirically examines the effect of monetary, fiscal and trade policy on economic growth in Pakistan using annual time series data from 1981 to 2009. Money supply, government expenditure and trade openness are used as proxies of monetary, fiscal and trade policy respectively. This study empirically examines the effect of monetary, fiscal and trade policy on economic growth in Pakistan using annual time series data from 1981 to 2009. Money supply, government expenditure and trade openness are used as proxies of monetary, fiscal and trade policy respectively.

2 Fiscal Policy Reconsidered Abstract For decades, economists looked to monetary policy, not fiscal policy, both when the economy needed stimulus and when it needed restraint. This clear preference rested on two beliefs: (1) that fiscal policy is too slow and too political, and (2) that monetary policy can always do the job by itself. 7/26/2018 · The most important difference between the fiscal policy and monetary policy is provided here in tabular form. Fiscal policy is mainly related to revenues generated through taxes and its application in various sectors which affects the economy, whereas monetary policy is …

fiscal monetary and trade policy pdf

Monetary, Credit, Foreign Trade and Exchange Policy Guidelines for Fiscal Years 2010/2011 Central Bank of Nigeria January 5, 2010 1 SECTION ONE 1.0 INTRODUCTION The Central Bank of Nigeria (CBN) adopted a medium-term framework for the conduct of monetary policy in 2002 based on the premise that it impacts on the Fiscal policy can be distinguished from monetary policy, in that fiscal policy deals with taxation and government spending and is often administered by a government department; while monetary policy deals with the money supply, interest rates and is often administered by a country's central bank. Both fiscal and monetary policies influence a