A policy used to tackle unemployment, inflation and economic growth with a variety of tools. What is economic policy investor words defines it as, "The actions taken by a government to influence its economy. Types of economic policy actions can include setting interest rates through a federal reserve, regulating the level of government expenditures, creating private property rights, and setting tax rates." The succession of economic policy can be view through the health of the economy the lowering of unemployment rate inflation and the increase economic growth. With many aspects to economic policy supply side, demand side, and monetary policy being different approaches to tackling many different economic issues.
Supply side economics …show more content…
demand side economics also known as Keynesian economics named after the man who developed the theory john Maynard Keynes. In the height of the great depression the government implemented demand side economics in order to provide jobs to the masses. the methods implemented such as deficit spending allowed the government to fully employ many people to stimulate the demand. used by president Roosevelt during the great depression to help the many unemployed. although demand side was used by president Roosevelt and supply side was used by president Reagan one policy was left used.
Monetary policy refers to the Federal Reserve the nation's central bank and influence the amount of money and credit in the U.S. economy. created by congress in 1913 to take on the responsibility of influencing credit and inflation. The objectives of monetary policy are to promote maximum employment, stable prices and moderate long-term interest rates. The tools of monetary policy are open market operations, the discount rate and reserve requirements. The fed is a system that is not easily influenced due to the broad of directors and the many other backs that make the decisions for the
Supply side economics …show more content…
demand side economics also known as Keynesian economics named after the man who developed the theory john Maynard Keynes. In the height of the great depression the government implemented demand side economics in order to provide jobs to the masses. the methods implemented such as deficit spending allowed the government to fully employ many people to stimulate the demand. used by president Roosevelt during the great depression to help the many unemployed. although demand side was used by president Roosevelt and supply side was used by president Reagan one policy was left used.
Monetary policy refers to the Federal Reserve the nation's central bank and influence the amount of money and credit in the U.S. economy. created by congress in 1913 to take on the responsibility of influencing credit and inflation. The objectives of monetary policy are to promote maximum employment, stable prices and moderate long-term interest rates. The tools of monetary policy are open market operations, the discount rate and reserve requirements. The fed is a system that is not easily influenced due to the broad of directors and the many other backs that make the decisions for the