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jaykeisah
jaykeisah jaykeisah
  • 01-09-2016
  • History
Answered

Why would a government choose to spend more money than it collects in taxes during a recession or a depression?

AIt is not possible to raise taxes during a recession.
BDeficit spending decreases demand and lowers inflation.
CTax revenues will be made up after a depression.

D.Spending increases demand and can encourage economic growth.

Verified Answer :

tatyanaslifelol tatyanaslifelol
  • 01-09-2016

Spending increases demand and can encourage economic growth.

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