Which of the following fiscal policies would decrease real GDP and the price level?
A. an increase in government expenditure
B. a decrease in taxes
C. an increase in taxes
D. None of the above answers is correct.
Answer:C
Which of the following fiscal policies would decrease real GDP and the price level?
A. an increase in government expenditure B. a decrease in taxes C. an increase in taxes D. None of the above answers is correct.