Payments from government accounts to individuals for programs that do not involve a purchase of goods or services are called:
A) discretionary funds.
B) transfer payments.
C) grants.
D) fiscal policy.

Question

Quizplus · Accepted Answer

Transfer payments refer to government accounts paying individuals for programs like social security, unemployment benefits, and other welfare programs, which do not involve a purchase of goods or services. Discretionary funds and grants both involve the government providing funds for certain purposes, but they typically involve the purchase of goods or services. Fiscal policy refers to the use of government spending and taxation to influence the economy as a whole.

Payments from Government Accounts to Individuals for Programs That Do