Which statement best describes the difference between fiscal policy and monetary policy? A. Fiscal policy regulates the money in circulation; monetary policy deals with taxation. B. Fiscal policy deals with the government's budget; monetary policy regulates the amount of money in the economy. C. Fiscal policy deals with the borrowing of money; monetary policy deals with the spending of money. D. Fiscal policy regulates consumption; monetary policy regulates federal spending.

Respuesta :

~Monetary Policy Is Typically Implemented By A Central Bank.
~F
iscal Policy Decisions Are Set By The National Government. 

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Answer:

B. Fiscal policy deals with the government's budget; monetary policy regulates the amount of money in the economy.

Explanation:

Economic policies are classified into two types. Fiscal policy, which consists of the government budget (public spending and taxes) and monetary policy, which is an instrument the government has, through the Federal Reserve, to control the amount of currency in circulation in the economy, ie , monetary policy is for the government to control inflation.