Final answer:
A) More jobs.
The desired outcome of fiscal policy usually aims to stimulate economic growth by creating more jobs, especially during a recession where expansionary fiscal policy is used.
Step-by-step explanation:
The desirable outcome of fiscal policy that is generally sought after involves encouraging economic growth, which includes creating more jobs, not greater deficits, higher unemployment rates, or a higher price level. Therefore, the correct answer to which of the following is considered a desirable outcome of fiscal policy would be A) More jobs. In situations such as a recession, an appropriate fiscal policy would be expansionary, aiming to increase aggregate demand through lower taxes or increased government spending, thereby stimulating output and decreasing unemployment. On the other hand, when the economy is operating above potential GDP and experiencing a rise in the price level, a contractionary fiscal policy would be suitable, aiming to reduce aggregate demand through tax increases or government spending cuts to control inflation while trying to maintain full employment.