The policy of using the government budget surplus or deficit to control the level of spending in the economy is called:

Question

Quizplus · Accepted Answer

Fiscal policy involves the use of government spending and taxation to influence the economy, including using budget surplus or deficit to control the level of spending. Monetary policy refers to the use of interest rates and other monetary tools to influence economic activity. Foreign policy deals with relationships and interactions with other countries. General policy is too broad and does not specifically refer to economic management.

The Policy of Using the Government Budget Surplus or Deficit