fiscal policy

An example of expansionary fiscal policy would be

cutting taxes

Who is in charge of fiscal policy:

government

SELECT TWO: Fiscal Policy to encourage economic growth includes:

increased government spending, reduced taxes

When is inflation dangerous for an economy?

When it is too high an happens too quickly, and people can longer afford the cost of living

Taxing & spending to slow the economy is referred to as:

contractionary policy

Why can the Federal Government collect an income tax?

16th amendment

Fiscal Policy:

Government decision-making about taxing and spending in an attempt to regulate the economy.

Inflation:

The rise in prices over time

The federal government's overall approach to spending and taxes is called

fiscal policy

SELECT TWO: Fiscal Policy to slow economic growth includes:

decreased government spending, increase taxes

The Federal government is concerned that the economy is declining swiftly, that a recession is looming, and that millions of Americans will be adversely affected. Which of the following fiscal policies might be enacted to counter this situation?

decreasing taxation

Taxing & spending to help the economy grow is referred to as

expansionary policy

True or False-- the Federal Reserve helps with fiscal policy

false

The Federal government is concerned that economic growth is too high, that it is unsustainable, and that inflation is resulting. Which of the following fiscal policies might be enacted to reduce inflation?

increasing taxation

Which of the following is not a tool of fiscal policy?

interest rates

When the government raises taxes, what does it take out of circulation?

money

If and economy experiences a dramatic rise in prices, which fiscal policy action could be taken:

reducing government spending

Which of the following are responsible for making fiscal policy decision?

the president and congress

Fiscal Policy is the means by which the government keeps the economy stable through taxes and programs provided to the people.

true