‫الرئيسية‬ ask expansionary spending takes place when a government makes the decision to
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expansionary spending takes place when a government makes the decision to

expansionary spending takes place when a government makes the decision to ?

a)put a freeze on the number of its employees.
b)raise taxes to balance its budget.
c)raise taxes to run a budget surplus.
d)raise spending to stimulate the economy

answer : d)raise spending to stimulate the economy

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question and answer question and answer.expansionaryspendingtakesplacewhenagovernmentmakesthedecisionto….Keynesian theory suggests that increase ingovernmentspendingstimulate aggregate demand and increases output.
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Fiscalexpansionoccurs whenever thegovernmentdecidestoeitherspendmore or lower taxes; fiscal contraction, by contrast,takesplacewhentheygovernmentspendsless or raises taxes. Fiscalexpansionarypolicy is usually associated withgovernment…
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Whensetting fiscal policy, thegovernmentcantakean active role in changing itsspendingor the level of taxation….Ifgovernmentspendingexceeds tax revenues,expansionarypolicy will lead to a budget deficit.
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Бесплатный сервис Google позволяет мгновенно переводить слова, фразы и веб-страницы с английского на более чем 100 языков и обратно.
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Whenaneconomy is in a recession,expansionaryfiscal policy is in order. Typically this type of fiscal policy results in increasedgovernmentspendingand/or lower taxes….It maytaketime to even recognize whether or not there is a recession.
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To counter a recession, the Fed usesexpansionarypolicy to increase the money supply and reduce interest rates….Whenthegovernmenttakesin more money in a given year (through taxes) than itspends, the result is a surplus.
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