Individual Course Assignment

MACROECONOMIC POLICIESNameCourseUniversityTutorDateAccording to a testimony by a national Reserve (FED ) official , US recorded a small scotch growth in 2006 . The inflation rate remained relatively high and only a few jobs were created . However , the stance worsened in the beginning of 2007 where a downward stinting growth was registered , a clear attestation that there had been frugal strains Much of these problems plenty be blamed on the troubled financial markets as well as the instability in the world miserliness . Prices of consumer goods as well as rock oil rose thus affecting the entire economy . To get up up the economy various measures have been adopted both by the government as well as her fundamental bank , the Federal Reserve . The government uses fiscal policies to process the flow of money in the economy thus influencing economic growth .

In instances where there is a recession it can increase the money supply in the economy with increased consumption or sale of her assets . On the another(prenominal) hand it can buy off her assets and reduce her expenditure to reduce excessive money supply in the economy . The Federal Reserve in contrast applies monetary policies with the take on of regulating the flow of money in the economy . pecuniary policy tools used include changing the reserve sine qua non , changing the discount rate as well as Open Market Operations (FOMC , 2008 . To ensure sustainable economic growth both the monetary as well as the fiscal policies are applied as they all subscribe at ensuring economic growth...If you want to get a to the full essay, order it on our website: Ordercustompaper.com

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