Question

What is the primary purpose of the government's fiscal policy?

Answer 1

The main goals of fiscal policy are to achieve and maintain full employment, reach a high rate of economic growth, and to keep prices and wages stable. But, fiscal policy is also used to curtail inflation, increase aggregate demand and other macroeconomic issues.

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Answer 2

The purpose of a national government’s fiscal policy is to fill any spending gaps that are present or are developing in the domestic economy. In plain English, the purpose of fiscal policy is for the federal government to manage its domestic economy efficiently.

Step-by-step explanation: