During the Great Recession of 2007-2009 while the economy was in a free fall, a decrease in government expenditures would have: During the Great Recession of 2007-2009 while the economy was in a free fall, a decrease in government expenditures would have: moved the economy closer to full employment. resulted in frantic job creation in the economy. destabilized the economy, moving it deeper into a recessionary state. deservedly denied bailout funds to bankers, allowing the financial system to collapse, and thereby getting the economy out of the crisis it was in