Question

The country of uKanturk has been facing an economic downturn for two consecutive years. To revive the financial condition of the country, its government tries to influence the economy through taxation and spending decisions that are designed to encourage growth and increase employment. In this scenario, the government of Kanturk is implementing its _____.

Answer 1

Answer:

Fiscal Policy

Explanation:

Fiscal Policy is simply defined as the government of a nation taxes used, spending, and transfer payments to promote the growth and stability betterment of the economy and also combat unemployment and inflation, but not at the same time. The are economic stabilizer in stability policies is usually donee by actions, set up in features of tax and tax incentives government spending programs. the federal governments use of taxing and spending to keep the economy stable.

The types of fiscal policies includes: Expansionary and contractionary and discretionary and non-discretional