Which of the Following Is a Discretionary Fiscal Policy Action

question 63

Multiple Choice

Which of the following is a discretionary fiscal policy action?

• A)an increase in the amount of unemployment compensation because more people become unemployed
• B)a progressive tax system that leads to an increase in income tax revenues during an economic boom
• C)a deliberate tax cut when the economy experiences high unemployment
• D)an increase in Supplemental Security Income payments when more people become eligible for the benefits

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Definitions:

Characteristic Ways

Describes the specific, identifiable manners or patterns in which an individual behaves or responds to situations.

Personality

A blend of distinctive traits and characteristics that shape an individual's personal nature and behavior.

Behaviors Originate

The inception or root causes of patterns of actions or reactions in individuals, often explored in psychology to understand human and animal behavior.