Use the following to answer questions:
-(Figure: Fiscal Policy Options) Refer to Figure: Fiscal Policy Options. If the aggregate demand curve is AD, the most appropriate discretionary fiscal policy is to _____ government spending and _____ income tax rates.
A) decrease; increase
B) decrease; maintain
C) increase; increase
D) maintain; maintain

Question

Use the following to answer questions: 
-(Figure: Fiscal Policy Options) Refer to Figure: Fiscal Policy Options. If the aggregate demand curve is AD, the most appropriate discretionary fiscal policy is to _____ government spending and _____ income tax rates.
A) decrease; increase 
B) decrease; maintain 
C) increase; increase 
D) maintain; maintain

Quizplus · Accepted Answer

The Answer of Use the following to answer questions: 
-(Figure: Fiscal Policy Options) Refer to Figure: Fiscal Policy Options. If the aggregate demand curve is AD, the most appropriate discretionary fiscal policy is to _____ government spending and _____ income tax rates.
A) decrease; increase 
B) decrease; maintain 
C) increase; increase 
D) maintain; maintain

Use the Following to Answer Questions