Fiscal policy involves

A) changing the money supply to change aggregate demand.
B) printing money,borrowing,or taxing to cover government spending.
C) changing government spending or taxes to increase aggregate demand.
D) state and local authorities,not the federal government.

Fiscal Policy

Government policies related to taxation and spending designed to influence economic conditions, including demand, employment, and inflation.

Aggregate Demand

The entirety of demand for products and services in an economy, pegged at a general price level during an established time frame.

Government Spending

The total amount of money that a government expends in a specific time period, which can include investments in infrastructure, welfare programs, and military expenditure.