Ron Swanson and Leslie Knope find themselves faced with an immediate halt of government spending and will be audited to examine necessary expenditures. The reduction of government expenditures is referred to as contractionary fiscal policy, which reduces overall aggregate demand. Imagining the city of Pawnee, the town Ron and Leslie work for, are experiencing current inflation rates being seen today, how can this assist curbing inflation? Furthermore, what other options exist? - If Pawnee was facing the current inflation rate today, how can the stop of government expenditures assist curbing inflation?

- What other type of fiscal policy approach is used by the government to increase output? Can you name an example of this occurring?

- Name two problems, criticisms, and complications of implementing the example you previously mentioned?