Respuesta :
Correct answer choice is:
D) Increasing military spending.
Explanation:
The straightforward fiscal policy contention is that an expansion in military spending is an expansion in state acquisitions, which will improve entire expenditures in the economics. Crowding- out happens when an expansion in state spending drives to a reduction in expenditure, investment or net tradings.
One way a government might respond to threats to national security that has to do with fiscal policy is D) increasing military spending.
What is fiscal policy?
This relates to any policy of the government that has to do with taxation and government spending.
If there are threats to national security, the government can increase military spending to meet those threats. This will fall under fiscal policy because it involves government spending.
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