Fiscal Policy Is Defined as Changes in Federal ________ and ________

question 267

Multiple Choice

Fiscal policy is defined as changes in federal ________ and ________ to achieve macroeconomic objectives such as price stability,high rates of economic growth,and high employment.

• A)taxes; interest rates
• B)taxes; the money supply
• C)interest rates; money supply
• D)taxes; expenditures

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Definitions:

Economic Concept

A theoretical idea that encompasses principles, theories, and models explaining how economies operate and how economic agents interact.

Reducing Pollution

The process of decreasing the amount and impact of contaminants released into the environment.

Tax Per Unit

A fixed amount of tax imposed on each unit of a good or service, which can affect production costs and market prices.

Negative Impact

An adverse effect or harm that arises from a particular process or action.