Question

Which action would be a change in the government's fiscal policy? A) an increase in taxes B) a decrease in unemployment C) a decrease in collected revenues Eliminate D) an increase in the price of goods

Answer 1

I don't know the answer fully but my brain is telling me it's A

Answer 2

An increase in taxes would be a change in the government's fiscal policy. Option A is correct.

Fiscal policy refers to the process by which a government gathers and spends money. An increase in taxes would mean a change in fisca lpolicy. The remaining options (prices of goods, revenue collections, and unemployment, are connected to fiscal policy; however, they are not policies introduced by the government.

Fiscal policies refer to the total level of spending.