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During which period of the business cycle do most businesses make the greatest increases in spending levels is it peak or expansion?
The period of the business cycle that most businesses make the greatest increase in spending is the expansion period. This is usually called the expansionary fiscal policy.
Which of these does fiscal policy deal with?
taxation
Who is the party responsible for fiscal policy?
Government
What does fiscal mean?
Fiscal usually relates to matters of financial stature. Fiscal could also relate to taxes and government issues. The use of the word fiscal can be combined in conjunction with fiscal cliff, fiscal year, fiscal deficit, fiscal policy and fiscal parish.
What is the impact of fiscal policy?
Fiscal policy is used by governments to influence the level of aggregate demand in the economy, in an effort to achieve economic objectives of price stability, full employment and economic growth.
Expansionary fiscal policy?
is a policy that have no demand
What is expansionary fiscal policy?
Expansionary fiscal policy is an increase in government spending or a reducing in net taxes which increase aggregate output/income (Y). +G or -T = +Y
Expansionary fiscal policy is so named because it?
Expansionary fiscal policy is so named because it is designed to expand real GDP.
What is the purpose of expansionary fiscal policy?
increase gvt exp
What is called deficit spending?
expansionary fiscal policy position
When does the government assume an expansionary fiscal policy position?
when it is weak
Which of the following is an example of expansionary fiscal policy?
cutting taxes
Strongest tool of expansionary fiscal policy?
More public expenditure
Is also called deficit spending?
expansionary fiscal policy position
Which of these is also called deficit spending?
expansionary fiscal policy position
Expansionary fiscal policy includes?
Expansionary fiscal policy is meant to expand the economy by ending a recession earlier, stimulating buying and business success, and decreasing the unemployment rate. This policy is often paired with the lowering of interest rates.
With regards to economic growth what is the goal of an expansionary fiscal policy?
To increase output
