Ask Question
26 February, 22:42

Public choice analysis indicates that it will be politically more attractive to

+1
Answers (1)
  1. 27 February, 02:19
    0
    Answer: put into practise expansionary fiscal policy during a recession than to make restrictive fiscal policy during an economic expansion

    Explanation: Recession occurs when there is a general decline in economic activities usually as a result of less spending. Economic expansion is thr opposite, which sees increase in level and growth of economic activities.

    Expansionary fiscal policy is a policy which involves decreasing taxes and/or increasing government expenditures in order to fight recession. Reducing taxes translates to households having more income to spend which is why it is a good policy to reduce recessionary pressures.

    Restrictive fiscal policy on the other hand restricts the growth of an economy by increasing taxes and/or reducing government expenitures so that households have less spending income; this policy is ideal during economic expansion to stabilize the economy from getting out of hand.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Public choice analysis indicates that it will be politically more attractive to ...” in 📘 Social Studies if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers