_____ refers to the changes in government spending and taxation that are aimed at achieving a policy goal.
A)Discretionary monetary policy
B)Discretionary fiscal policy
C)Discretionary foreign trade policy
D)Discretionary exchange rate policy
E)Discretionary interest rate policy

Question

Quizplus · Accepted Answer

Discretionary fiscal policy refers to changes in government spending and taxation that are aimed at achieving a policy goal. Discretionary monetary policy refers to changes in the money supply and interest rates by a central bank. Discretionary foreign trade policy and exchange rate policy refer to government policies related to international trade and currency exchange. Discretionary interest rate policy is a subset of monetary policy that specifically focuses on changing interest rates.

_____ Refers to the Changes in Government Spending and Taxation