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5. Describe how an expansionary fiscal policy helps to stimulate economic growth in an economy. (8 marks) 6. An economy is said to be experiencing

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5. Describe how an expansionary fiscal policy helps to stimulate economic growth in an economy. (8 marks) 6. An economy is said to be experiencing a higher level of Real Gross Domestic Product (GDP) than the Natural Real GDP. With the aid of a diagram, discuss how the government could use fiscal policies to solve this problem. (9 marks)

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