Wow! eBook
Fiscal Policy: Economic Effects
Author(s): Congressional Research Service (Author), Jeffrey Stupak (Author)
- Publication Date: 16 May 2019
- Language: English
- Print length: 22 pages
- ISBN-10: B07S2D6SQ5
Book Description
Fiscal policy is the means by which the government adjusts its spending and revenue to influence the broader economy. By adjusting its level of spending and tax revenue, the government can affect the economy by either increasing or decreasing economic activity in the short term. For example, when the government runs a budget deficit, it is said to be engaging in fiscal stimulus, spurring economic activity, and when the government runs a budget surplus, it is said to be engaging in a fiscal contraction, slowing economic activity.
This report looks at the government's use of fiscal policy and its economic effects.
