3 years ago

An appropriate fiscal policy for a severe recession is:.

Social Studies

1 answer:

Fittoniya [83]3 years ago

5 0

Answer:

The answer is below!!

Explanation:

Expansionary fiscal policy is most appropriate when an economy is in recession and producing below its potential GDP. Contractionary fiscal policy decreases the level of aggregate demand, either through cuts in government spending or increases in taxes.

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