Economics · Macroeconomics
Which of the following fiscal policy measures is directly used to correct a situation of deficient aggregate demand in an economy?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1A contractionary decrease in the total money supply
- 2A deliberate increase in government expenditure✓
- 3A discretionary increase in public tax rates
- 4A deliberate decrease in government expenditure
Correct answer
A deliberate increase in government expenditure
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