How does the government typically change fiscal policy to try to improve the
U.S. economy during a recession?
O
A. Decreasing federal spending
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B. Increasing the amount of money in circulation
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C. Increasing federal spending
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D. Decreasing the amount of money in circulation

Respuesta :

Answer:

C. Increasing federal spending.

Explanation:

Higher government spending is a common tool to fight an economy´s recession. Policies aim at avoiding a further fall of the GDP by absorbing supply to face a falling demand, and to preserve jobs and employment. An example of government spending during a recession can be investment in public works and infrastructure in order to get job creation.

The government typically change fiscal policy to try to improve the U.S. economy during a recession as they are Increasing federal spending.

What is federal spending?

The federal budget is known to be a key policy tool of our government and as such  dictates its spending.

Note therefore that the government typically change fiscal policy to try to improve the U.S. economy during a recession as they are Increasing federal spending.

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