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Fiscal policy is called as ______ policy.
  • a)
    monetary
  • b)
    budgetary
  • c)
    industrial
  • d)
    economic
Correct answer is option 'B'. Can you explain this answer?
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Fiscal policy is called as ______ policy.a)monetaryb)budgetaryc)indust...
Fiscal policy is an essential tool used by the government to regulate the economy of a country. This policy is related to the government's revenue and expenditure decisions, which are implemented to achieve the desired economic objectives. In this policy, the government makes changes to its spending, taxation, and borrowing to influence the economy's overall performance.

Budgetary Policy:

Fiscal policy is also known as budgetary policy. This policy is related to the government's budget decisions, which are aimed at controlling the economy's performance. Budgetary policy is a part of fiscal policy, which deals with the government's revenue and expenditure decisions. The government uses this policy to regulate the economy's performance by making changes to its spending, taxation, and borrowing.

Monetary Policy:

Monetary policy is another tool used by the central bank to stabilize the economy. This policy is related to the supply of money and credit in the economy. The central bank uses this policy to manage the interest rates, inflation, and economic growth.

Industrial Policy:

Industrial policy is a set of policies that are aimed at promoting the growth and development of industries in the economy. The government uses this policy to promote the growth of specific industries, such as agriculture, manufacturing, and services. The industrial policy is aimed at creating an environment that is conducive to the growth of industries.

Conclusion:

In conclusion, fiscal policy is called budgetary policy, which is related to the government's revenue and expenditure decisions. This policy is used to regulate the economy's performance by making changes to its spending, taxation, and borrowing. The government uses this policy to achieve its desired economic objectives.
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Fiscal policy is called as ______ policy.a)monetaryb)budgetaryc)indust...
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.Nov 21, 2019
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Read the following passage and answer on the basis of the same : The subject-matter of economics is divided into two major branches—Microeconomics and Macroeconomics. Microeconomics studies the economic behaviour of individual economic units and individual economic variables, whereas macroeconomics deals with the functioning of the economy as a whole. Macroeconomics dealswith the broad economic aggregates or bigger issues, such as full employment, unemployment, full capacity, under capacity production, inflation or deflation, etc. Macroeconomics is concerned with the theory of national income, employment, aggregate consumption, savings and investment, general price level, economic growth, etc. Whereas, microeconomics is concerned with the theory of product pricing, factor pricing and consumer behaviour, etc.Positive economics is the branch of economics that concerns the description and explanation of economic phenomena. It focuses on facts and cause and effect behavioural relationships and includes the development and testing of economic theories. Positive economics is objective and facts based. Whereas normative economics is a part of economics that expresses value or normative judgments about economic fairness or what the outcome of the economy or goals of public policy ought to be. Normative economics is subjective and value based.For example, the statement, “government-provided healthcare increases public expenditures” is a positive economic statement and the statement, “government should provide basic healthcare to all citizens” is a normative economic statement.Assertion (

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Fiscal policy is called as ______ policy.a)monetaryb)budgetaryc)industriald)economicCorrect answer is option 'B'. Can you explain this answer?
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