Social Studies, 16.02.2022 07:50 SKYBLUE1015
When the government wishes to promote full employment and economic growth at a time when price level is not a concern, it will use fiscal policy tools designed to increase consumption and investment spending in the economy. By taxes, government allows people to keep more of their income for spending on goods and services. By government spending, more firms and workers can earn money from government contracts and jobs. Households spend some of this additional income on goods and services, increasing other economic activity.
a. increasing; lowering
b. increasing; increasing
c. lowering; increasing
d. lowering; lowering
Answers: 2
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When the government wishes to promote full employment and economic growth at a time when price level...
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