Macroeconomics 20th Edition by Campbell McConnell ,Stanley Brue ,Sean Flynn

Exercise 22

If an economy has an inflationary expenditure gap, the government could attempt to bring the economy back toward the full-employment level of GDP by _______ taxes or _______ government expenditures.
A) Increasing; increasing.
B) Increasing; decreasing.
C) Decreasing; increasing.
D) Decreasing; decreasing.