Question

You are a member of Congress and your aide reports that the inflation rate continues to drop and is below the rate associated with a growing economy. Some economists have begun talking about the possibility of deflation. To address this concern, you vote for the bill that aims to

Answer 1

reduce taxes for business owners

Answer 2

a bill that seeks to loosen the economy. It is called an expansionary fiscal policy. in deflation cases, where prices of goods fall drastically because of increases value of money,or less supply in the market, a government advocates a high spending culture because individuals are not spending and companies are not producing.