What is the difference between a fixedrate mortgage and an adjustablerate mortgage

What is the difference between a fiscal stimulus and a monetary stimulus Introduction: The Need for Economic Stimulus Hello everyone! In times of economic downturn or stagnation, governments and central banks often employ various measures to boost economic activity. Two such measures are fiscal stimulus and monetary stimulus. While they share the goal of stimulating the economy, their approaches and effects differ significantly. Fiscal Stimulus: The Government's Role Fiscal stimulus primarily involves the government's actions to increase spending or reduce taxes. The idea is simple: when the government spends more or cuts taxes, it puts more money in people's hands, encouraging them to spend. This increased spending, in turn, drives demand for goods and services, leading to economic growth. Examples of fiscal stimulus include infrastructure projects, tax rebates, and welfare programs. Monetary Stimulus: The Central Bank's Intervention On the other hand, monetary stimulus relies on the central bank's actions, particularly in relation to interest rates and the money supply. When the central bank wants to stimulate the economy, it can lower interest rates. Lower rates make borrowing cheaper, encouraging businesses and individuals to take loans for investments or purchases. This increased borrowing and spending, again, leads to economic activity.