Question

Distinguish between Monetary and Fiscal Policy (One point)

Answer 1

Monetary Policy	Fiscal Policy
Monetary policy refers to the policies designed and adopted to ensure that entire economic system operates efficiently for which supply, cost and availability of money are responsible to accomplish it. Monetary policy is exercised by a country's Central Bank on behalf of the government.	Fiscal policy refers to the policy of the government with regards to taxation, public expenditure and public borrowings so as to promote economic development of a country.