Which of the following is considered as a part of fiscal policy?
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → All of the above
Fiscal policy is the government’s policy on its spending, its transfers and its taxes. Taxes and subsidies, transfer payments and government expenditure are all parts of it.
NCERT (2026-27): Glossary: “Fiscal policy – The policy of the government regarding the level of government spending and transfers and the tax structure.” |