Question

Which of the following is an example of economic policy?

Answer 1

Answer:

The Fed lowering the interest rate during a recession

Explanation:

Economic policies include all the decisions taken by the government related to taxation and the redistribution or the supply of money.

An example of economic policy is "The Fed lowering the interest rate during a recession" as it involves the decision taken by the government of reducing interest rate due to a decline in general economic activity.

Hence, the correct answer is "The Fed lowering the interest rate during a recession".