An Example of Contractionary Fiscal Policy Is

question 37

Multiple Choice

An example of contractionary fiscal policy is

• A) an increase in government expenditures,or an increase in taxes,or both.
• B) a decrease in government expenditures,or a decrease in taxes,or both.
• C) an increase in government expenditures,or a decrease in taxes,or both.
• D) a decrease in government expenditures,or an increase in taxes,or both.
• E) increasing government expenditures while holding taxes constant.

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Definitions:

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