What impact will a contractionary fiscal policy,other things being equal,tend to have?

Name: What impact will a contractionary fiscal policy,other things being equal,tend to have?
Brand: Quizplus
Rating: 4.8 (52 reviews)

Question

Quizplus · Accepted Answer

Contractionary fiscal policy typically involves reducing government spending or increasing taxes, which can lead to a decrease in disposable income and overall demand. This can result in lower investment as businesses anticipate reduced consumer spending and economic activity.

What Impact Will a Contractionary Fiscal Policy,other Things Being Equal,tend