Material Detail

This activity will use a simple practice exercise to help students distinguish between monetary and fiscal policies. The basic format is the students will read a description of a policy and select whether the policy is fiscal or monetary policy or neither.

This practice exercise should be undertaken by students who have learned the measures of economics activity, the basic macroeconomic aggregate demand/aggregate supply model of the economy, the use of fiscal policy and monetary policy to alter the outcomes of the economy. This activity addresses confusions that students might have as to the differences between fiscal policy and monetary policy.

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