What type of fiscal policy would be appropriate to use during a recessionary period?  How might this affect aggregate demand, unemployment, and inflation?

Why do Republicans like tax cuts? Why are tax cuts a good thing? How does it affect the aggregate supply and demand graph?

If a recession persists due to nominal wage and price stickiness (i.e., slow adjustment of nominal wages downward), what kind of fiscal policy can bring us out of this recession?     decreased government expenditures and increased taxes   increased government expenditures and decreased taxes   decreased government expenditures   contractionary fiscal policy

If households and firms are pessimistic about the economy and very reluctant to increase investment and consumption during economic recessions even if interest rates fall, then Fiscal policy will be more effective than monetary policy Both fiscal and monetary policy will be equally effective Monetary policy will be more effective than fiscal policy