Fiscal policy is implemented primarily by
A) local governments alone.
B) the defense department.
C) state governments alone.
D) the federal government.
E) state and local governments.

Question

Quizplus · Accepted Answer

Fiscal policy is primarily implemented by the federal government, specifically through decisions made by the executive and legislative branches regarding government spending, taxation, and borrowing. State and local governments also have some influence through their own policies, but the majority of fiscal policy decisions and actions occur at the federal level. The defense department, local governments, and state governments alone do not have the authority or resources to implement fiscal policy on a comprehensive scale.

Fiscal Policy Is Implemented Primarily by