Final answer:
Fiscal policy refers to government's use of changes in federal spending and taxes to influence the economy. Examples of changes in federal spending and taxes that would be fiscal policy include increasing funding for infrastructure projects or lowering income tax rates.
Step-by-step explanation:
Fiscal policy refers to the government's use of changes in federal spending and taxes to influence the economy. Examples of changes in federal spending that would be fiscal policy include increasing funding for infrastructure projects or decreasing funding for social welfare programs.
Examples of changes in taxes that would be fiscal policy include lowering income tax rates or increasing corporate tax rates.
On the other hand, there are changes in federal spending and taxes that would not be considered fiscal policy. For example, if the government adjusts spending on national defense based on international security concerns, it may not be directly related to managing the economy.
Similarly, if the government changes taxes to address environmental issues, it may fall under a different policy category.