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Explain how deregulation can be used to stimulate aggregate supply in the economy​

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6 votes

Answer:

By increasing or decreasing government spending on projects, the government is able to increase employment and economic growth. In a recession, a government can increase spending on various projects to stimulate the economy. An example is building public transit infrastructure

Step-by-step explanation:

Deregulation is the reduction or elimination of government power in a particular industry, usually enacted to create more competition within the industry. Over the years, the struggle between proponents of regulation and proponents of no government intervention has shifted market conditions.

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