What is the difference between a macroeconomic theory and a macroeconomic policy?

Macroeconomic theories are referred to as those scientific theories that have been developed by to give insights to the functioning of an economy. Macroeconomic variables include aggregate demand, aggregate supply, inflation, gross domestic product, unemployment, consumption, price level, interest rate, and so on.

There are different macroeconomic theories such as classical theories, Keynesian theory of income and employment, classical and Keynesian theory of money, aggregate demand and aggregate supply model, IS- LM Model, Neo classical theories, and so on. Macroeconomic theories explain the effect of change in one factor on other factors. It address and suggest solutions for macroeconomic problems such as unemployment, high inflation, deflationary situation, currency depreciation.

Macroeconomic policies are the actions taken by government of the country to stabilize the economy. Macroeconomic policy is an attempt to boost the level of gross domestic product and fully utilize the resources of the country. Mainly it includes fiscal policy, monetary policy, supply-side policies (privatization, reforming trade unions, improving the education and introducing skill development programs).