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When the Economy Is in a Recession,________ Taxes Decrease While

Question 174

Multiple Choice

When the economy is in a recession,________ taxes decrease while ________ spending increases and,as a result of this automatic fiscal policy,aggregate demand ________.


A) needs-tested;induced;decreases
B) induced;needs-tested;increases
C) induced;discretionary;is not changed
D) discretionary;needs-tested;increases
E) discretionary;induced;is not changed

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