Fiscal Policy are the regular measures that design by the govt. of a nation in order to curb the problem of macro economic condition such as credit or money supply in current economy. All options are correct except option A.
Fiscal stands for government. Policy are general statements design to operate an economy referred to fiscal policy. Fiscal policy is refer to the use of public expenditure and taxation norms to affect the economy, particularly macroeconomic conditions.
These include employment, inflation, economic expansion, and the total demand for goods and services.
Following are the major examples of Fiscal Policies:
1) Decline or incline in the tax rate or increase in deductions for personal tax payers.
2) Reduce or increase the govt. expenditures for a particular section.
3) Issuing currencies or demonetization of old currency
4) Issuing of govt. bonds & securities to curb the problem of money supply.
Hence the reimbursement of medical bills will not be consider as a macro event in designing of fiscal policy.
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