The use of the Commonwealth budget to achieve macroeconomic objectives of full employment and high and sustainable economic growth is
A) called government GDP policy.
B) done only when there is a budget deficit.
C) done only when there is a budget surplus.
D) called fiscal policy.
E) called monetary policy.

Question

Quizplus · Accepted Answer

Fiscal policy involves the use of government spending and taxation to influence the economy. It is a key tool for achieving macroeconomic objectives such as full employment and sustainable economic growth.

The Use of the Commonwealth Budget to Achieve Macroeconomic Objectives