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What is fiscal policy?

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تم إضافة السؤال من قبل Vinod Jetley , Assistant General Manager , State Bank of India
تاريخ النشر: 2015/03/19
Charimar Ferrer
من قبل Charimar Ferrer , Senior VM , Noul Central Markets (Bloomingdale’s-Kuwait)

Fiscal policy is the means by which a government adjusts its spending levels and tax rates to monitor and influence a nation's economy. It is the sister strategy to monetary policy through which a central bank influences a nation's money supply.

Reference: investopedia.com

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من قبل مستخدم محذوف‎

In economics and political science, fiscal policy is the use of government revenue collection (mainly taxes) and expenditure (spending) to influence the economy.

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من قبل مستخدم محذوف‎

Best Answer:  http://en.wikipedia.org/wiki/Fiscal_poli...

it's either uses the federal government's powers of spending and taxation to affect employment, the price level, and GDP. or

can affect employment and prices, but not the level of GDP.

I THINK.

Muhammad Ramzan Tufail  ACCA
من قبل Muhammad Ramzan Tufail ACCA , Assistant Finance Manager , Eltizam Asset Management Group

Fiscal policy is the use of government spending and taxation to influence the economy. When the government decides on the goods and services it purchases, the transfer payments it distributes, or the taxes it collects, it is engaging in fiscal policy. The primary economic impact of any change in the government budget is felt by particular groups, a tax cut for families with children, for example, raises their disposable income. Discussions of fiscal policy, however, generally focus on the effect of changes in the government budget on the overall economy. Although changes in taxes or spending that are “revenue neutral” may be construed as fiscal policy—and may affect the aggregate level of output by changing the incentives that firms or individuals face. The term “fiscal policy” is usually used to describe the effect on the aggregate economy of the overall levels of spending and taxation, and more particularly, the gap between them.

Almutaz Bakry Sidahmed
من قبل Almutaz Bakry Sidahmed , Internal Audit Manager , Banan real estate

Agree with experts. =========

Vinod Jetley
من قبل Vinod Jetley , Assistant General Manager , State Bank of India

Government's revenue (taxation) and spending policy designed to (1) counter economic cycles in order to achieve lower unemployment, (2) achieve low or no inflation, and (3) achieve sustained but controllable economic growth. In a recession, governments stimulate the economy with deficit spending (expenditure exceeds revenue).

Wasi Rahman Sheikh
من قبل Wasi Rahman Sheikh , WAREHOUSE SUPERVISOR , AL MUTLAQ FURNITURE MFG

Agree with Experts answer <<<<<<<<<<<<<<

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من قبل مستخدم محذوف‎

AGREED WITH ALL ..............................

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