What is the governments role in developing fiscal policy


Problem

Fiscal policy is an important tool for managing the economy because of its ability to affect the total amount of output produced. Answer the following questions:

a) What is the government's role in developing fiscal policy?
b) What role/s fiscal policy plays in achieving government objectives?
c) What are the different lags that would affect the effectiveness of Fiscal policy?
d) Describe government borrowing requirements.

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Macroeconomics: What is the governments role in developing fiscal policy
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