Monetary v. Fiscal Policy

As a concluding activity for fiscal and monetary policy, you will create a digital comic using StoryboardThat.com in which one character is explaining the current economic conditions and their impact on the Texas economy to a friend. Directions Explain the difference between fiscal and monetary policy. Explain how recent actions by the government will impact the economy. For example, how will continued government spending impact the economy? How will the tax code impact the economy? 3. Next go to https://www.dallasfed.org/ and search for Beige Book. Click on Research tab. Under Texas Economy click on Economic Analysis, scroll down to Beige Book. Click on Beige Book and open the most recent edition. Read the “Summary of Economic Activity”. Open a second tab and go to https://www.federalreserve.gov/. Click on Monetary policy tab and select Monetary Policy Report. Open the most recent report and read the summary. After examining the two reports consider the following questions: Describe the Texas economy. What actions, if any, has the Fed taken regarding federal funds rate? Will this help or hurt the Texas economy? Explain. Answer the above questions in your storyboard. 4. Finally, state if the fiscal and monetary policies contradict each other or support each other. Explain.