Fiscal policy is what the federal government shares the revenue with the state, the local, and other governmental units for the poverty, health, and the highway programs.
What is meant by the fiscal policy: the Fiscal policy is the use of the government spending and the taxation to influence the economy. the Governments typically use the fiscal policy to promote the strong and the sustainable growth and to reduce the poverty. The two major examples of the expansionary fiscal policy are the tax cuts and the increased government spending. Both of these policies are to be intended to increase aggregate and demand while the contributing to deficits or the drawing down budget of surpluses.
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