If the economy has an inflationary GDP gap,one possible solution is to increase taxes.
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Q123: Balancing new government purchases with an equivalent
Q124: Tax cuts and increased income transfers have
Q125: Outright transfer cuts are frequently used because
Q126: A decrease in transfer payments works like
Q127: The multiplier ensures that equilibrium GDP equals
Q129: If the economy is experiencing excess demand
Q130: Crowding out is the idea that an
Q131: AD excess is the amount of additional
Q132: An increase in government expenditure can crowd
Q133: An income transfer contains less fiscal stimulus
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