Senator Gong Lee is alarmed at the state of the economy. Unemployment is high and GDP is low. Senator Lee wants Congress to take action to increase its expenditures and cut taxes in order to stimulate the economy. The actions called for by Senator Lee are examples of:

fiscal policy.

Question

Business

Quentin Pruitt

9 May, 02:33

Senator Gong Lee is alarmed at the state of the economy. Unemployment is high and GDP is low. Senator Lee wants Congress to take action to increase its expenditures and cut taxes in order to stimulate the economy. The actions called for by Senator Lee are examples of:

fiscal policy.

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Answers (1)

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Cory Bowman · Answer 1

The actions called for by Senator Lee are examples of: fiscal policy.

Explanation:

Fiscal policy is followed by the government to adjust its tax rate and spending level to influence the economy of the nation. Fiscal policy is followed during low GDP in the country. The economy of the country can be stimulated by implementing the fiscal policy.

In the above scenario, the country faces economy downturn due to unemployment. So Senator Gong Lee decides to execute fiscal policy to cut down the tax rate and stimulate the economy.

Senator Gong Lee is alarmed at the state of the economy. Unemployment is high and GDP is low. Senator Lee wants Congress to take action to increase its expenditures and cut taxes in order to stimulate the economy. The actions called for by Senator Lee are examples of:fiscal policy.

Senator Gong Lee is alarmed at the state of the economy. Unemployment is high and GDP is low. Senator Lee wants Congress to take action to increase its expenditures and cut taxes in order to stimulate the economy. The actions called for by Senator Lee are examples of:

fiscal policy.