Fill inthe blanks.
a. Fiscal Policy involves changing ______ . In the United States, Fiscal Policy is implemented by the _.
b. __can be used to address a Recessionary Gap by taxes and _ government purchases. Meanwhile, _can be used to address an Inflationary Gap by taxes and ____government purchases.

Question

21-06-2021
Business

contestada

Fill inthe blanks.
a. Fiscal Policy involves changing ______ . In the United States, Fiscal Policy is implemented by the _.
b. __can be used to address a Recessionary Gap by taxes and _ government purchases. Meanwhile, _can be used to address an Inflationary Gap by taxes and ____government purchases.

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Answer:

a) taxes and government spending, President and Congress

b) Expansionary Fiscal Policy, lowering, raising, Contractionary Fiscal Policy, raising, lowering.

Explanation:

a. Fiscal Policy involves changing taxes and government spending. In the United States, Fiscal Policy is implemented by the President and Congress.

b. Expansionary Fiscal Policy can be used to address a Recessionary Gap by lowering taxes and raising government purchases. Meanwhile, Contractionary Fiscal Policy can be used to address an Inflationary Gap by raising taxes and lowering government purchases.