About This Chapter
CSET Business - Macroeconomics: Fiscal and Monetary Policy: Chapter Summary
Learn how fiscal and monetary policies are used to manage the economy through this chapter on macroeconomics. This series of video lessons can be a good resource for aspiring teachers who are studying for the California Subject Examinations for Teachers (CSET) Business Subtest II. Specific topics covered in this chapter include the following:
- The Keynesian revolution
- Government spending and taxes
- Fiscal policy and the effects of unemployment
- Supply-side economics in fiscal and monetary policy
CSET Business - Macroeconomics: Fiscal and Monetary Policy Objectives
The Commission on Teacher Credentialing administers credentials for public school teachers in California. If you want to work as a secondary school business teacher, you'll need to pass the CSET Business Single Subject Exam as part of the credentialing process. This exam is divided into three parts, including the CSET Business Subtest II. This 40-multiple-choice-question subtest includes 15 questions that are specific to economics as well as one economics-focused constructed-response question.
You can use our chapter on fiscal and monetary policy as a reminder of what you learned as part of your formal postsecondary education or as an introduction to these concepts if they're something you never studied in school. Each lesson includes a video and a self-assessment quiz, which features questions similar to those you'll see on the CSET Business Subtest II.
1. Managing the Economy with Fiscal and Monetary Policies
Learn what fiscal and monetary policy are and how they are used to manage the economy. Find out the goals of these policies and some of the tools that each use to help you find a job and influence the amount of money in your pocket.
2. Fiscal Policy: The Keynesian Revolution
In this lesson, you'll learn how the government uses stabilization policy to smooth out the ups and downs of the business cycles. In stark opposition to the Classical approach, this Keynesian approach favors taking immediate action to stabilize a troubled economy.
3. Fiscal Policy Tools: Government Spending and Taxes
Discover the three main tools the government uses to address recessionary and inflationary economies - what economists call fiscal policy. Find out how these tools are used to help the economy in different situations.
4. Fiscal Policy and the Effects on Unemployment
Review what fiscal policy is and how the two key components of fiscal policy can be used to influence unemployment. Find out when and how fiscal policy can be used and why it is so important.
5. Supply-Side Economics in Fiscal and Monetary Policy
This lesson explains what supply-side economics is, where it started, and how economists illustrate it. It provides a basic overview of the still-controversial theory that was popularized by President Ronald Reagan during the 1980s.
6. What is the Free Enterprise System? - Definition & Examples
Find out what a free enterprise system is and how you benefit as a consumer and business owner in this type of environment. Learn about some common examples of free enterprises.
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Other chapters within the CSET Business Subtest II: Practice and Study Guide course
- CSET Business - Accounting Principles
- CSET Business - Principles of Finance
- CSET Business - Personal Finance
- CSET Business - Economic Concepts
- CSET Business - Microeconomics
- CSET Business - Macroeconomics: General Concepts
- CSET Business - Macroeconomics: Unemployment & Inflation
- CSET Business - Macroeconomics: Money, Federal Reserve System & Banking
- CSET Business - International Economics