Fiscal policy is defined as changes in federal ________ and ________ to achieve macroeconomic objectives such as price stability,healthy rates of economic growth,and high employment.
A) taxes; interest rates
B) taxes; financial liquidity in the economy
C) interest rates; financial liquidity in the economy
D) taxes; purchases

Question

Quizplus · Accepted Answer

Fiscal policy involves changes in government taxation and purchases to achieve macroeconomic goals. Changes in interest rates and financial liquidity in the economy fall under the realm of monetary policy, which is implemented by central banks, not by governments.

Fiscal Policy Is Defined as Changes in Federal ________ and ________

Fiscal Policy Is Defined as Changes in Federal and