Ask Question
19 April, 13:43

Fiscal policy is the government's approach to monitoring the value of money. investing its money. taxing and borrowing. taxing and spending.

+1
Answers (2)
  1. 19 April, 15:40
    0
    Fiscal policy is the government's approach to taxing and spending

    Explanation:

    Fiscal policy is the government's approach to taxing and spending in order to influence and balance the economy for the mid or long term so that the inflation and wages levels remain stable, the rate employment is high, and there is economic growth in general.

    There are mainly two types of fiscal policies, which governments uses depending on the state of a nation's economy. For example, when a nation has a high unemployment rate and there is not enough demand, the government may stimulate economic growth by cutting taxes and increasing government spending, this is called Expansionary Fiscal Policy. On the other hand, when a nation has inflation, the government may aim to counteract this inflation by raising taxes and decreasing government expanding, that is to say, it can use a Contractionary Fiscal Policy.

    Nevertheless, both policies have downsides. If an Expansionary Fiscal Policy is not used properly, it could lead to inflation, and an inadequate Contractionary Fiscal Policy can cause unemployment rates to increase.
  2. 19 April, 15:51
    0
    the answer is D. taxing and spending.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Fiscal policy is the government's approach to monitoring the value of money. investing its money. taxing and borrowing. taxing and spending. ...” in 📘 History if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers