Suppose South Africans start to save more. This will result in a _______________ (4.1) shift of the ________________ (4.2) curve. The equilibrium level of output will ________________ (4.3) and the equilibrium price level will __________________ (4.4). The level of unemployment in the economy has _____________ (4.5). ________________ (4.6) fiscal policy can be implemented by the South African government to reduce unemployment. This involves ________________ (4.7) government expenditure and __________________ (4.8) tax. The effect of this fiscal policy is that the ____________ (4.9) curve will shift to the _________________ (4.10).
Suppose South Africans start to save more. This will result in a _______________
(4.1) shift of the ________________ (4.2) curve. The equilibrium level of output will
________________ (4.3) and the
(4.4). The level of
________________ (4.6) fiscal policy can be implemented by the South African
government to reduce unemployment. This involves ________________ (4.7)
government expenditure and __________________ (4.8) tax. The effect of this fiscal
policy is that the ____________ (4.9) curve will shift to the _________________
(4.10).
Fiscal policy is the term used to describe the approach used by a nation's government to influencing the state of the economy through taxation and spending. In general, this policy is applied during business cycles like inflation and deflation.
The policy regulates the amount of money in the economy, which aids in reversing these swings. Taxation, public spending, and public borrowing are the mechanisms utilised in this policy.
Step by step
Solved in 2 steps
