When television commentators refer to "tax and spend" policy, they are referring to
A) fiscal policy.
B) monetary policy.
C) command and control policy.
D) automatic stabilizers.

Question

Quizplus · Accepted Answer

"Tax and spend" policy is a derogatory term used to criticize government fiscal policies that involve raising taxes to fund government programs and initiatives. Fiscal policy refers to the use of government spending and taxation to influence economic conditions. Therefore, option A is the correct answer. Monetary policy refers to the use of interest rates and money supply to control the economy, while command and control policy refers to regulations that govern private sector activities. Automatic stabilizers are government programs that automatically adjust to changes in economic conditions and do not require legislative action.

When Television Commentators Refer to "Tax and Spend" Policy, They