Economics Q166

166Two analysts make the following statements:
Analyst 1: Monetary policy seeks to influence the macro economy by influencing the quantity of money and credit in the economy. On the other hand, fiscal policy involves the use of government spending and taxation to influence economic activity.
Analyst 2: Fiscal policy seeks to influence the macro economy by influencing the quantity of money and credit in the economy. On the other hand, monetary policy involves the use of government spending and taxation to influence economic activity.
Which analyst is most likely correct?

Option : A
Explanation : Monetary policy seeks to influence the macro economy by influencing the quantity of money and credit in the economy, while fiscal policy involves the use of government spending and taxation to influence economic activity.

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