1) The Fiscal Policy is also known as a) the taxation policy b) the buget policy c) the budgetary policy d) the aggregate policy 2) The Budget takes place every a) january b) march c) may d) decemeber 3) Fiscal policy is used to control a) aggregate demand b) aggregate supply c) aggregate supply and demand 4) A budget deficit aims to a) achieve economic growth and inflation b) achieve economic growth and employment c) reduce inflation and balance of payments 5) if the government want to reflate the economy they will...... a) aim for budget deficit b) aim for budget surplus 6) when government spend money they hope to create a a) aggregate demand b) aggregate supply c) mutliplier effect d) deflate the economy 7) if the economy is overheating, the government will a) increase spending and decrease taxation b) increase taxation and decrease spending

fiscal LTA

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