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fiscal policy refers to the part 2 a. adjustment of national income data to account for price level changes. b. adjustment of government spending and taxes in order to achieve certain national economic goals. c. manipulation of the money supply in order to increase the amount of cash that the government holds. d. government policy that aims at raising the market prices of certain goods.

Respuesta :

The correct option is (b) adjustment of government spending and taxes in order to achieve certain national economic goals.

The use of taxation and expenditure by the government to affect the economy is known as fiscal policy. Fiscal policy is often used by governments to encourage robust, long-term growth and lower poverty. John Maynard Keynes, a British economist, is heavily used in discussions of fiscal policy.

Depending on the demands of their economies, various nations use various types of fiscal policy. Fiscal policy can be classified as neutral, contractionary, or expansionary. Fiscal policy can be divided into two categories: expansionary and contractionary.

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