Which of the Following fiScal Policy Changes Would Be the Most

question 176

Multiple Choice

Which of the following fiscal policy changes would be the most contractionary?

• A) a $40 billion increase in taxes
• B) a $10 billion increase in taxes and a $30 billion cut in government spending
• C) a $20 billion increase in taxes and a $20 billion cut in government spending
• D) a $30 billion increase in taxes and a $10 billion cut in government spending

---

Definitions:

Knowledge Dissemination

The process of spreading knowledge to a wider audience or group, often aimed at increasing awareness or understanding.

Knowledge Creation

The process of generating new ideas, insights, and information through analysis, research, and innovation.

Social Media

A digital platform that enables individuals to create, share, or exchange information, ideas, pictures, and videos in virtual communities and networks.

Team Learning

The process through which a team collectively acquires, shares, and integrates knowledge to improve its performance or achieve objectives.