Which of the Following Would Be Considered a Fiscal Policy

question 156

Multiple Choice

Which of the following would be considered a fiscal policy action?

• A)A city changes its rates of land tax.
• B)A federal government creates a subsidy for hybrid cars to encourage the purchase of fuel-efficient cars.
• C)Foreign aid is given to Indonesia.
• D)A tax cut is designed to stimulate spending during an economic contraction.

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Definitions:

Populist Party

A political party in the United States in the late 19th century that advocated for the interests of average citizens, farmers, and workers.

Third Parties

Political parties that operate alongside the primary two parties in a two-party system, often influencing specific issues or ideological spectrums.

American Political System

The governance framework in the U.S. characterized by democracy, federalism, and a constitutional division of powers among the executive, legislative, and judicial branches.

Eugene V. Debs

An American socialist, political activist, and trade unionist, one of the founding members of the Industrial Workers of the World, and five times the candidate of the Socialist Party of America for President of the United States.