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disa [49]
3 years ago
9

18. What is characteristic of the economy during contractionary and expansionary periods?

Social Studies
1 answer:
natali 33 [55]3 years ago
4 0

Answer:

Expansionary fiscal policy occurs when the Congress acts to cut tax rates or increase government spending, shifting the aggregate demand curve to the right. Contractionary fiscal policy occurs when Congress raises tax rates or cuts government spending, shifting aggregate demand to the left.

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