Discretionary Fiscal Policy Is When

question 163

Multiple Choice

Discretionary fiscal policy is when:

• A)existing taxation policy automatically smoothes out business cycle fluctuations in the economy.
• B)the government changes the levels of expenditure or taxation to achieve a macroeconomic aim.
• C)policy is left to the discretion of the Reserve Bank of Australia.
• D)politicians are discrete about policy changes and do not advise consumers or producers of new policies.

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Definitions:

Compliance

The act of conforming to a rule, standard, or law.

Adherence

The commitment to follow a prescribed set of rules or medication treatment.

Commitment

The condition of being committed to a purpose, task, or objective.

Inspirational Appeals

Relates to a leadership or influence tactic that seeks to elicit enthusiasm or emotion by appealing to people’s values, ideals, or aspirations.