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A) the Most Appropriate fiScal Policy Is an Increase of Government

Question 33

Multiple Choice

  A)  the most appropriate fiscal policy is an increase of government expenditures or a reduction of taxes. B)  the most appropriate fiscal policy is a reduction of government expenditures or an increase of taxes. C)  government should undertake neither expansionary nor contractionary fiscal policy. D)  the economy is achieving its maximum possible output.


A) the most appropriate fiscal policy is an increase of government expenditures or a reduction of taxes.
B) the most appropriate fiscal policy is a reduction of government expenditures or an increase of taxes.
C) government should undertake neither expansionary nor contractionary fiscal policy.
D) the economy is achieving its maximum possible output.

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