Question

The federal government establishes legislation that prevents the formation of business monopolies. This is an example of which form of policy?
A. Business Policy

B. Fiscal Policy

C. Regulatory Policy

D. Monetary Policy

Answer 1

Answer:

B. Fiscal Policy

Explanation:

Fiscal policy is usually set up by the legislative arm of government. Monetary policies are set up by the Central bank of the country.

These policies helps in the reduction of taxes which prevents the formation of business monopolies thereby encouraging competition and more spending as a result of the vast availability of options and less worry about high taxes.