Fiscal policy involves the actions of
A) taxation and spending in an effort to address inflation and unemployment.
B) business regulation to increase economic efficiency.
C) changing interest rates to stimulate private savings.
D) changing the exchange rate to discourage imports.

Question

Quizplus · Accepted Answer

Fiscal policy involves using government spending and taxation to influence the economy. The goal is often to address inflation and unemployment, among other economic issues. Options B, C, and D describe other economic policies, but they are not part of fiscal policy.

Fiscal Policy Involves the Actions of