Fiscal policy refers to :
(A) Sale and purchase of securities by RBI
(B) Government taxes, expenditure and borrowings
(C) Government borrowings from abroad
(D) Sharing of its revenue by Central Government with States
Correct Answer : Government taxes, expenditure and borrowings
Expenditure and Borrowing of Government and the tax of Government taken as Directly and Indirectly, are contained in fiscal policy.
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