To positively stimulate an economy using fiscal policy, government spending should , and taxes should .

Question

To positively stimulate an economy using fiscal policy, government spending should ______, and taxes should ______.

asked Sep 22, 2023 208k views

1 Answer

← Prev Question Next Question →

Ask a Question

Synexis · Answer 1 · 2023-09-27T19:47:12+0000

Answer:
rise;fall

Step-by-step explanation:

The government might issue tax stimulus rebates to increase aggregate demand and fuel economic growth. The logic behind this approach is that when people pay lower taxes, they have more money to spend or invest, which fuels higher demand.

To positively stimulate an economy using fiscal policy, government spending should , and taxes should .

Please log in or register to add a comment.

Please log in or register to answer this question.

1 Answer

Please log in or register to add a comment.

Related questions

Categories

Other Questions