• government decisions on spending and taxation that shape aggregate demand and resource allocation
  • expansionary fiscal policy: increased spending or tax cuts to stimulate economic activity during downturns
  • contractionary fiscal policy: reduced spending or tax increases to restrain inflation and overheating
  • budget deficit: spending exceeds revenue, financed by debt issuance
  • budget surplus: revenue exceeds spending, reducing outstanding debt
  • fiscal multiplier: each unit of government spending generates more than one unit of economic output through cascading demand effects
  • national debt: accumulated deficits over time, sustainability depends on growth rate vs interest rate
  • in cybernomics: community pool taxation on transactions and governance-directed spending function as decentralized fiscal policy
  • governance proposals allocating community pool funds mirror fiscal spending decisions at protocol level