asked 10.7k views
1 vote
HELP PWEASE!!!!!

Inflation is rising. Which fiscal policy strategy would the federal government MOST LIKELY use to stabilize the economy?

A. decrease government spending and/or raise taxes


B. increase government spending and/or lower taxes


C. raise the discount rate and/or buy securities


D. lower the discount rate and/or sell securities

asked
User Tenorsax
by
7.8k points

2 Answers

2 votes

Answer:

a

Step-by-step explanation:

answered
User Alaq
by
8.7k points
3 votes

The answer is A. decrease government spending and/or raise taxes.

decreasing government spending helps save money for emergencies, such as a war, and increasing taxes makes sure the government has enough money to spend each year.

answered
User Godspped
by
7.6k points
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