Question

Match the different fiscal policies of the government and their impact on the society.

consumer spending decreases
less development in roads and hospitals
government follows contractionary policy
government decides to increase taxation
government follows expansionary policy
government decides to reduce tax rates
1
budget reflects a deficit
consumers are able to save more

Answer 1

consumer spending decreases - government follows contractionary policy

less development in roads and hospitals - budget reflects a deficit

government decides to increase taxation - government follows contractionary policy

government decides to reduce tax rates - government follows expansionary policy

consumers are able to save more - government decides to reduce tax rates