Tuesday, 18 August 2015

Monetary and Fiscal Policy

Monetary Policy (M. P.)


It refers to a term used for the deliberate attempt by the government to regulate the level of economic activities by controlling the money supply, level of interest and conditions available for credit.

Fiscal Policies (F.P.)

It is an instrument of demand management which seeks to influence the level of economic activity through the control of taxation and government expenditure.



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