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Name and explain the policy that is appropriate to deal with each one of the scenario's below: (provide two points for each issue.) 1) Lesotho

Name and explain the policy that is appropriate to deal with each one of the scenario's below: (provide two points for each issue.)

1) Lesotho has been experiencing both a current account and budget deficit in 2022.

2) A small economy suffers from inflation emanating from permanent food supply shortages due to climate change shocks.

3) A small developing nation faces public debt distress but has fiscal buffers from positive commodity price shocks.

4) China is slowing down demand of oil from Angola and the country suffers from a current account deficit.

5) South Africa is facing heightened food inflation and negative oil price shocks.

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Lesotho experiencing both a current account and budget deficit in 2022 Policy Fiscal consolidation combined with structural reforms Fiscal consolidation Implement measures to reduce government spendin... blur-text-image

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