Question 5 of 10
Which situation most directly illustrates a possible outcome of a fiscal
policy?
A. The budget for the U.S. military goes up during a time of
emergency
B. The value of the dollar goes down compared to a foreign
currency's value
C. Companies hire many new employees during an economic boom.
D. A corporation decides to save money by replacing workers with
machines

Respuesta :

Answer:

The budget for the us military goes up during a time of emergency.

Explanation:

The military is directly funded by the us government like department of education I just got it right

The situation which most directly illustrates a possible outcome of a fiscal policy is when, "The budget for the U.S. military goes up during a time of emergency."

What is a Fiscal policy?

Fiscal policy is the use of government spending and taxation to benefit the economy. Governments typically use fiscal policy to promote strong and sustainable growth and reduce poverty.

The two major examples of fiscal policy are tax cuts for low income groups. Increased government spending on the welfare of the economy. The government usually spends on Education, infrastructure, health etc.

For the economy to function properly the government plays a major role. The government performs four major fiscal functions which are- Allocation, Distribution, Economic Growth and Stabilization.

What is a budget?

A budget is an estimation of revenue and expenses over a specified future period of time and is utilized by governments, businesses, and individuals.

A budget is basically a financial plan for a defined period, normally a year that is known to greatly enhance the success of any financial undertaking.

Hence, at the time of emergency the government makes the expenses from the budget.

Hence, option A is correct.

To learn more about Fiscal policy and budget refer:

https://brainly.com/question/11567873

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