If a government devises a plan to increase the amount of money that is spent on national infrastructure like bridges and roads, what is this called?
A)A fiscal policy
B)A governmental policy
C)A federal policy
D)A multiplier

Question

Quizplus · Accepted Answer

If a government devises a plan to increase the amount of money that is spent on national infrastructure like bridges and roads, this is called a fiscal policy.
Key Takeaway: Taxes and various kinds of government spending are the main tools of fiscal policy. Any time the government plans to change the level of taxes in the economy or changes expenditures in any way, economists say that the government is using or creating fiscal policy. Fiscal policy is only in the hands of Congress and the president.

If a Government Devises a Plan to Increase the Amount