The government's use of taxing and spending powers to manipulate the economy is called

Question

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Fiscal policy refers to the use of government spending and taxation to influence the economy. This can include increasing government spending to stimulate economic growth or reducing taxes to encourage consumer spending. It is one of the primary tools the government has to manage the economy. Budgeting policy refers to the process of creating and managing a government budget, but it does not necessarily involve using taxing and spending powers to manipulate the economy. Open-market operations refer to the Federal Reserve's buying and selling of government securities to influence the money supply and interest rates, which is a monetary policy tool rather than a fiscal policy tool. Social management is not a commonly used term in economics or political science and does not refer to any specific economic policy.

The Government's Use of Taxing and Spending Powers to Manipulate