Which of the following would be classed as an expansionary fiscal policy? An increase in the money supply O Areduction in the number of goods exempted from VAT O An increase in the VAT rate O An increase in government expenditure

Which of the following would be classed as an expansionary fiscal policy? An increase in the money supply O Areduction in the number of goods exempted from VAT O An increase in the VAT rate O An increase in government expenditure

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter30: Government Budgets And Fiscal Policy

Section: Chapter Questions

Problem 15SCQ: What would happen if expansionary fiscal policy was implemented in a recession but, due to lag, did...

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Question

Which of the following would be classed as an expansionary fiscal policy?
O An increase in the money supply
O A reduction in the number of goods exempted from VAT
O An increase in the VAT rate
O An increase in government expenditure

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