Question

Which of the following is not an objective of Fiscal policy?

• A. Economic Growth
• B. Economic Stability
• C. Maximization of Employment level
• D. Regulating of Financial Institutions

Answer 1

The correct option is D Regulating of Financial Institutions

Financial regulation is a form of regulation or supervision, which subjects financial institutions to certain requirements, restrictions and guidelines, aiming to maintain the stability and integrity of the financial system. This may be handled by either a government or non-government organization. whereas, Fiscal policy uses the government's taxation and spending powers to influence the economy.