Multiple Choice
Assume the economy is in the midst of a severe recession.Which of the following policies would be consistent with discretionary fiscal policy?
A) a Parliamentary proposal to incur a federal surplus to be used for the retirement of public debt
B) a reduction in agricultural subsidies and veterans' benefits
C) a postponement of a highway construction program
D) a reduction in federal tax rates on personal and corporate income
Correct Answer:
Verified
Correct Answer:
Verified
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