Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

What opposing or agrees opinion could be said about this statement? The primary goals of expansionary and contractionary fiscal policies involve the government reducing it

What opposing or agrees opinion could be said about this statement? The primary goals of expansionary and contractionary fiscal policies involve the government reducing it taxes are increasing its expenditure levels. The primary goal of expansionary fiscal policy is to fight the possibility of a recession occurring in the economy. Effect on the GDP When there is a change in government spending the GDP is affected directly, the increase in government spending will cause an increase in the GDP, this is because consumption levels and investment levels would have increased. The fact that the economy will experience a decrease in aggregate demand, the GDP will definitely decrease. opposing opinion could be said about the statement

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Understanding Business

Authors: William NickelsJames McHughSusan McHugh

12th Edition

1259929434, 9781259929434

More Books

Students also viewed these Economics questions

Question

What are the skills of management ?

Answered: 1 week ago