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Explain The Three Economic Stances

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Three economic stances a government may have are neutral, expansionary, and contractionary. A neutral stance indicates a balanced economy. In most cases this stance leads to more tax revenue for the government. Expansionary implies that the government is spending or allocating more money than it collect. Contractionary implies that the government is collecting more money than it spends of allocates. The four different economic resources are land, capital, labor, and entrepreneurial ability. Land refers not only to physical land but also to the neutral resources that we use including lumber, minerals, oil, and so on. Capital refers to all of the manufactured tools and aids used to produce consumer goods. In other words, capital includes tools,

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