Fiscal policy generally has a _______ direct impact than monetary policy on the economy, and the formulation and implementation of fiscal policy is ______ than that of monetary policy.
A) more; quicker
B) more; slower
C) less; quicker
D) less; slower
E) Cannot tell from the information given

Question

Quizplus · Accepted Answer

Fiscal policy, which involves government spending and taxation, generally has a more direct impact on the economy than monetary policy, which is concerned with managing the money supply and interest rates. However, changes in fiscal policy often require legislative approval, making the process slower than adjustments in monetary policy, which are typically decided by central banks and can be implemented more swiftly.

Fiscal Policy Generally Has a _______ Direct Impact Than Monetary