Which of the Following Is an Example of a Discretionary

question 239

Multiple Choice

Which of the following is an example of a discretionary fiscal policy action?

• A)increasing government spending to deal with a recession
• B)a decrease in tax revenues as taxpayers' incomes decrease
• C)increasing the minimum wage rate
• D)raising regulations in the health care industry

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Definitions:

Substitute Product

An alternative product that serves the same purpose or meets the same need as another.

Apple Juice

A beverage made by pressing and extracting the liquid from apples.

Orange Juice

A beverage made by extracting the liquid from oranges, often consumed for its nutritional value and taste.

Picture Frames

are decorative edgings for pictures, such as photographs or paintings, intended to enhance their appearance, make them easier to display, and protect them.