The use of government spending and taxes to alter the level of GDP is called: monetary policy. incomes policy. fiscal policy. credit policy. Choose the most correct answer by clicking a button, or by typing a letter from the keyboard and pressing the tab key. If expected income is: People will consume: People expect to save: People expect to pay as taxes: Business will want to invest: Government will spend: 980 724 148 108 216 50 1030 752 160 118 228 50 1080 780 172 128 240 50 1130 808 184 138 252 50 For equilibrium to increase by 50, from 1030 to 1080, either investment or government spending must increase by: 5. 10. 22. 27.5. 50. Choose the most correct answer by clicking a button, or by typing a letter from the keyboard and pressing the tab key.