Which fiscal policy would make a budget surplus smaller or a budget deficit larger? a. an increase in government purchases of goods and services b. lower government transfers c. lower interest rates d. higher taxes
Which fiscal policy would make a budget surplus smaller or a budget deficit larger? a. an increase in government purchases of goods and services b. lower government transfers c. lower interest rates d. higher taxes
Chapter11: Fiscal Policy
Section: Chapter Questions
Problem 1.7P
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Question
Which fiscal policy would make a budget surplus smaller or a budget deficit larger?
a. an increase in government purchases of goods and services
b. lower government transfers
c. lower interest rates
d. higher taxes
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