Examples of fiscal policy do NOT include:
A) increasing Medicaid reimbursements.
B) reducing the money supply to raise the interest rate.
C) increasing personal income tax deductions for home ownership.
D) reducing federal subsidies to state universities.

Question

Quizplus · Accepted Answer

Fiscal policy involves government spending and taxation, not the money supply, which is controlled by the Federal Reserve. The other three options involve specific government actions to affect the economy through spending and taxation policy.

Examples of Fiscal Policy Do NOT Include