Explain the actions the federal government would take while engaging in expansionary fiscal policy

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REQUIREMENTS:Focus of the Final PaperIn an effort to move the economy out of a recession, the federal government would engage in expansionary economic policies.Respond to ALL the following points in your paper on the actions the government would take to address expansionary fiscal and monetary policies:1) Expansionary Fiscal Policy:Explain the actions the federal government would take while engaging in expansionary fiscal policy in terms of the following:The necessary changes within the following:A) taxes andB) government spending,The effects to the following:A) aggregate demand;B) GDP; andC) employment.2) Expansionary Monetary Policy:The three tools the Federal Reserve Bank (The Fed) uses when conducting monetary policy are the required reserve ratio, the discount rate, and open market operations.a) Explain the actions of the Fed in regard to the three tools.b) When the required reserve ratio is increased or decreasedc) When the discount rate is increased or decreasedd) Buying or selling government securities when conducting expansionary monetary policyAlso, Explain how these actions would affect the following:a) money supply,b) interest rates,c) spending,d) aggregate demand,e) GDP, andf) employment.Paper Requirements:1) Eight to ten double-spaced pages in length and formatted according to APA style2) Must include an introductory paragraph with a succinct thesis statement that ties to the conclusion paragraph.3) Four scholarly resources w/ references list.NO PLAGIARIZING

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