Discretionary Fiscal Policy Is a Fiscal Policy Action, Such as

question 20

Multiple Choice

Discretionary fiscal policy is a fiscal policy action, such as

• A) a decrease in tax receipts, initiated by the state of the economy.
• B) an increase in payments to the unemployed, initiated by the state of the economy.
• C) an interest rate cut.
• D) a tax cut, initiated by the government to simulate spending.
• E) an increase in the quantity of money.