The tax rebates passed by Congress in 2008 to help move the economy more rapidly toward potential GDP are an example of
A) automatic fiscal policy.
B) discretionary fiscal policy.
C) non-needs spending.
D) contractionary fiscal policy.

Question

Quizplus · Accepted Answer

The tax rebates passed by Congress in 2008 to stimulate the economy represent discretionary fiscal policy, as they were a deliberate action by the government to influence economic activity by adjusting spending levels and tax rates.

The Tax Rebates Passed by Congress in 2008 to Help