Question

Planned changes in the nation’s budget that are meant to influence the economy are called __________.
A.

monetary policy
B.

fiscal policy
C.

budget resolutions
D.

government bonds

Answer 1

the answer is b fiscal policy

Answer 2

Answer:

The Correct Answer is B

Fiscal policy

Explanation:

• Fiscal policy attracts Growth, Investment or Saving in the long period while in the short period Fiscal policy affects the aggregate demand.
• Fiscal policy is the choice of the government in dealing with, on what to spend and how much, and how spending would be funded. Fiscal policy is the action to the overall choices of the government regarding purchases or taxes.