Which of the Following Is Considered Contractionary Fiscal Policy

question 232

Multiple Choice

Which of the following is considered contractionary fiscal policy?

• A)Parliament increases the income tax rate.
• B)Parliament increases the Canada Health Transfer.
• C)Legislation removes a college tuition deduction from federal income taxes.
• D)The Ontario legislature cuts highway spending to balance its budget.
• E)The Saskatchewan government increases spending to clean up abandoned oil wells.

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Definitions:

Ore

A naturally occurring solid material from which a metal or valuable mineral can be extracted profitably.

Metamorphic Rock

Rock that was once one form of rock but has changed to another under the influence of heat, pressure, or some other agent without passing through a liquid phase.

Heat And Pressure

The combination of high temperature and force applied to a material, often leading to physical or chemical changes.

Igneous Rock

Rock formed through the cooling and solidification of magma or lava, foundational to the Earth's crust.