Multiple Choice
Discretionary fiscal policy is when:
A) existing taxation policy automatically smoothes out business cycle fluctuations in the economy.
B) the government changes the levels of expenditure or taxation to achieve a macroeconomic aim.
C) policy is left to the discretion of the Reserve Bank of Australia.
D) politicians are discrete about policy changes and do not advise consumers or producers of new policies.
Correct Answer:
Verified
Correct Answer:
Verified
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