Question

If the government takes on a program of increased spending and tax cuts, what would be the combination of these policies?

Answer 1

expansionary fiscal policy

Step-by-step explanation:

Remember, the overall goal of expansionary policies by a government is to provide/allow its citizens more money in their pockets.

Hence, when the government

1. begins a program or policy that increases its spending; the amount of capital projects in the country increases, thereby resulting in more opportunities to employ workers from the economy.
2. Also, when government increases its tax cuts; it results in more disposable income for workers, more likely resulting in increased consumer spending.