What is example of a fiscal policy?

Answer 1

The central government increases income tax rates.

Answer 2

There are unlimited examples. It only depends upon the imagination of the politics:

• A reduction (or an increase) on income tax.
• An extension in the unemployment benefits.
• A check for mums when they have a baby.
• Increasing taxes to pay for greater military spending.
• Raising taxes in order to cover a budget deficit.

Answer 3

The Department of Transportation increases spending on highway repairs.

Other example includes the recent quantitative easing where the government spends $600 billions buying treasury bonds.

Answer 4

the government restricts the amount of money that banks can lead

Answer 5

The central government increases income tax rates.

Answer 6

The Department of Transportation increases spending on highway repairs.

Answer 7

a tax on imported software

Answer 8

The government cuts taxes.