Discretionary Fiscal Policy differs from Nondiscretionary Fiscal Policy in that

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Discretionary Fiscal Policy refers to deliberate changes in government spending or taxation with the goal of achieving certain macroeconomic objectives, such as stabilizing the economy during a recession. Nondiscretionary Fiscal Policy, also known as automatic stabilizers, refers to government spending and taxation policies that automatically stimulate or depress the economy during recessions or expansions. These policies are built-in and take effect automatically without the need for explicit government action. Therefore, the main difference between these policies is that discretionary policies require specific government actions and can take years to enact, while nondiscretionary policies are automatic and take effect immediately without any action from the government.

Discretionary Fiscal Policy Differs from Nondiscretionary Fiscal Policy in That