Reducing Net Taxes and Reducing Government Purchases Are Both Effective

question 2

True/False

Reducing net taxes and reducing government purchases are both effective ways of eliminating an expansionary gap.

---

Definitions:

Molecule

The smallest unit of a chemical substance that retains its chemical properties, consisting of two or more atoms bonded together.

Compound

A substance made up of two or more elements chemically combined in fixed proportions.

Sodium Chloride

A chemical compound known as table salt, composed of sodium and chlorine atoms, essential for human health but required in moderation.

Molecule

The smallest unit of a chemical compound that can exist, consisting of two or more atoms bonded together.