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Suppose Economic Conditions Call for a Tax Increase but Congress

Question 65

Multiple Choice

Suppose economic conditions call for a tax increase but Congress does not implement this measure because an election is approaching.This is an example of which of the real-world problems associated with fiscal policy?


A) Pork barrel politics.
B) Time lags.
C) Crowding out.
D) Balancing the budget on the backs of the poor.

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