Which of the following statements are correct?
1. An increase in government spending and/or a decrease in taxes is a contractionary Fiscal Policy.
2. a decrease in government spending and/or tax increases is an expansionary Fiscal Policy.
Options:
Only 2
Neither 1 nor 2
Both 1 and 2
Only 1
Boost your performance with adaptive practice tests
Practice every concept in the syllabus
Compare your speed and accuracy with your peers
Download the app and practice on the go