Please respond to all four parts of the Discussion Question:

1. What are government's fiscal policy options for moving the economy out of a recession?
2. Speculate on which of these fiscal options might be favored by a person who wants to preserve the size of government
3. Speculate on which of these fiscal options might be favored by a person who thinks the public sector is too large.
4. How does the "ratchet effect" affect anti-inflationary fiscal policy?