Using fiscal policy, to increase real GDP and employment the government could ________ government expenditure on goods and services or ________ taxes.
A) increase; decrease
B) increase; increase
C) decrease; decrease
D) decrease; increase
Correct Answer:
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Q9: A discretionary fiscal policy is a fiscal
Q10: A government that currently has a budget
Q11: In the short run, an increase in
Q12: Taxes and government expenditures that, without need
Q13: Government transfer payments _ during expansions and
Q15: If the government runs a surplus, the
Q16: Deliberate changes in government expenditures and taxes
Q17: Fiscal policy is the use of the
Q18: If the government wants to engage in
Q19: An example of a discretionary fiscal policy
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