Describe the tools the Canadian government uses to move the economy from either a recessionary or expansionary gap
Describe the tools the Canadian government uses to move the economy from either a recessionary or expansionary gap to the long run equilibrium level. what are some of the fiscal or monetary policy instruments available to the Canadian government and the Bank of Canada can undertake to get the economy back to full employment. Use diagrams to illustrate your answer. Discuss the pros and cons of fiscal and monetary policy.
Based on your analysis, does conducting fiscal and monetary policy result in the same impacts on inflation or output levels? Discuss the trade-offs (or lack thereof) that exists between inflation and output in the short and long run.
Student: Can you please ensure the response would be about 1000 words and ensure your response addresses all of the questions. Additionally, I would ask that you provide sources and citations too.
Answer preview to describe the tools the Canadian government uses to move the economy from either a recessionary or expansionary gap
APA
1225 words
