Fiscal policy that the government actively chooses to adopt is called:

Question

Quizplus · Accepted Answer

Fiscal policy that the government actively chooses to adopt is called discretionary fiscal policy. Automatic stabilizing policy refers to the automatic response of the economy to counteract fluctuations, monetary policy refers to actions taken by the central bank to manage the money supply and interest rates, and contractionary policy refers to actions taken to decrease government spending or increase taxes to combat inflation.

Fiscal Policy That the Government Actively Chooses to Adopt Is