Fiscal policy tools include the following:
1.Tax policy: Tax policy is a means of regulating economic activities by adjusting the tax system and tax policy. ** It can affect the economic behavior of enterprises and individuals by raising or lowering tax rates, adjusting preferential tax policies, expanding or narrowing the scope of taxation, etc., so as to achieve macroeconomic goals such as economic growth, price stability, and balance of payments.
2.Spending policy: Spending policy refers to a means of regulating economic activity by adjusting the size and structure of its spending in various areas. **Spending can be used for infrastructure construction, social welfare spending, defense spending, etc., which can stimulate economic growth, increase employment opportunities, improve people's living standards, etc.
3.Investment policy: Investment policy refers to a means of regulating economic activity by investing in certain sectors or projects. **Investment can be used for infrastructure construction, investment in emerging industries, etc., which can stimulate economic growth, promote industrial upgrading, improve technological level, etc.
4.Fiscal discount policy: Fiscal discount policy refers to a means of giving financial discount to encourage enterprises to increase investment. **Reduce the financing cost of enterprises by giving interest subsidies to enterprises, so as to encourage enterprises to increase investment and expand production scale.
5.Fiscal subsidy policy: Fiscal subsidy policy refers to a means of giving financial subsidies to encourage enterprises or individuals to engage in certain economic activities. ** Reduce the cost of enterprises or individuals by giving them certain financial subsidies, so as to encourage them to engage in the economic activity, promote economic development and improve people's living standards.
6.Public Debt Policy: Public debt policy refers to a means of regulating economic activity through the issuance of public bonds. The issuance of public bonds can increase fiscal revenue, adjust the amount of money, affect the level of interest rates, etc., so as to achieve macroeconomic goals.
7.Transfer policy: A transfer policy refers to a means of regulating economic activity by transferring payments to individuals or regions. ** Promote economic growth and social development by giving certain transfer payments to individuals or regions to increase their income levels, improve their living conditions, etc.
8.State-owned assets income policy: State-owned assets income policy refers to a means to regulate economic activities through the income of state-owned assets. **Macroeconomic goals can be achieved by increasing fiscal revenues and supporting the development of other areas through the income from state-owned assets.
To sum up, fiscal policy tools include tax policy, expenditure policy, investment policy, fiscal discount policy, fiscal subsidy policy, public debt policy, transfer payment policy and state-owned asset income policy. ** Appropriate fiscal policy instruments can be selected to regulate economic activities according to different situations, so as to achieve macroeconomic goals such as economic growth, price stability, and balance of payments.