Taxing and spending are tools of_____. A. Fiscal policy B. Monetary policy

Question

asked Sep 2, 2021 44.8k views

1 Answer

Ross Drew · Answer 1 · 2021-09-06T09:29:46+0000

Answer:

A. Fiscal policy.

Step-by-step explanation:

Taxes are a fiscal policy tool because changes in taxes affect the average consumer's income, and changes in consumption lead to changes in real GDP.