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To positively stimulate an economy using fiscal policy, government spending should ______, and taxes should ______.
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To positively stimulate an economy using fiscal policy, government spending should ______, and taxes should ______.

User Fordareh
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1 Answer

3 votes

Answer:
rise;fall

Step-by-step explanation:

The government might issue tax stimulus rebates to increase aggregate demand and fuel economic growth. The logic behind this approach is that when people pay lower taxes, they have more money to spend or invest, which fuels higher demand.

User Synexis
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