In the above figure, which fiscal policy could help move the economy to potential GDP?
A. decreasing government expenditure
B. decreasing autonomous taxes
C. increasing government expenditure
D. Both answers A and B are correct.
Answer:A
In the above figure, which fiscal policy could help move the economy to potential GDP?
A. decreasing government expenditure B. decreasing autonomous taxes C. increasing government expenditure D. Both answers A and B are correct.