Fiscal policy involves increases or decreases in
A) the money supply.
B) interest rates.
C) government spending and taxes.
D) exports and imports.

Question

Quizplus · Accepted Answer

Fiscal policy involves changes in government spending and taxation to impact the overall economy, including promoting economic growth and stabilizing inflation. It does not involve changes in the money supply or interest rates directly, although these may be indirectly affected by fiscal policy actions. Export and import policies may be part of fiscal policy, but they are not the primary focus.

Fiscal Policy Involves Increases or Decreases in