What does fiscal policy primarily affect in the short run?
A) growth
B) investment
C) aggregate demand
D) aggregate supply

Name: What does fiscal policy primarily affect in the short run? A) growth B) investment C) aggregate demand D) aggregate supply
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Question

Quizplus · Accepted Answer

Fiscal policy primarily affects aggregate demand in the short run by changing government spending, taxes, and transfer payments, which affect consumer and business spending.

What Does Fiscal Policy Primarily Affect in the Short Run