[Answer] A(n) ____________ policy is employed when the government chooses to run a larger deficit.

Answer: expansionary
A(n) ____________ policy is employed when the government chooses to run a larger deficit.
Government spending can be financed by government borrowing or taxes. When Governments choose to borrow money they have to pay interest on the money borrowed which can lead to government debt. Changes in government spending is a major component of fiscal policy used to stabilize the macroeconomic business cycle
Sat Apr 08 2006 14:30:00 GMT-0400 (Eastern Daylight Time) · Under MMT fiscal policy (i.e. government taxing and spending decisions) is the primary means of achieving full employment establishing the budget deficit at the level necessary to reach that goal. In mainstream economics monetary policy (i.e. Central Bank adjustment of interest rates and its balance sheet) is the primary mechanism assuming there is some interest rate low enough to achieve …
In the United States Social Security is the commonly used term for the federal Old-Age Survivors and Disability Insurance (OASDI) program and is administered by the Social Security Administration. The original Social Security Act was signed into law by Franklin D. Roosevelt in 1935 and the current …

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