Q. Which one of the following statements appropriately describes the “fiscal stimulus” ?

  • (A) It is a massive investment by the Government in manufacturing sector to ensure the supply of goods to meet the demand surge caused by rapid economic growth
  • (B) It is an intense affirmative action of the Government to boost economic activity in the country
  • (C) It is Government’s intensive action on financial institutions to ensure disbursement of loans to agriculture and allied sectors to promote greater food production and contain food inflation
  • (D) It is an extreme affirmative action by the Government to pursue its policy of financial inclusion
✅ Correct Answer: (B) It is an intense affirmative action of the Government to boost economic activity in the country

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