Fiscal Policy Refers to

question 188

Multiple Choice

Fiscal policy refers to

• A) the techniques used by a business firm to reduce its tax liability.
• B) the behavior of the nation's central bank, the Federal Reserve, regarding the nation's money supply.
• C) the spending and taxing policies used by the government to influence the economy.
• D) the government's ability to regulate a firm's behavior in the financial markets.

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Definitions:

Market Values

The current price at which an asset or service can be bought or sold in the marketplace.