The government determines the appropriate level of taxes and spending through its ________.

Question

Quizplus · Accepted Answer

Fiscal policy refers to the government's decisions regarding taxation and spending, which are used to influence the economy's performance. Monetary policy refers to the actions taken by a central bank to influence the supply and demand of money and credit in the economy. Domestic and foreign policy refer to actions taken to address issues within the country and in relationships with other countries, respectively.

The Government Determines the Appropriate Level of Taxes and Spending