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(Solved): Fiscal policy deals with the government's spending and taxation practices. The changes in fiscal pol ...



Fiscal policy deals with the government's spending and taxation practices. The changes in fiscal policy affect households and firms (companies) in the economy. Monetary Policy refers to the actions of the Federal Reserve to control (regulate) the money supply to influence the rate of interest in the economy. The change in the rate of interest affects companies and households. Suppose the Federal Reserve increased the money supply to reduce the rate of interest. How does this affect the company you selected for your research?How can the company prepare itself to deal with the changes in fiscal policy and monetary policy?What actions do you suggest for the firm to undertake to ensure success on a sustainable basis during the changes in macroeconomic environments pertaining to fiscal policy and monetary policy?



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