Answers2026-2027 Personal Finance w Mrs. RoudybushFiscal Policy: TaxesQuestion 3
3
QuizMultiple Choice

Fiscal Policy: Taxes

Question 3 • 2026-2027 Personal Finance w/ Mrs. Roudybush

Which best explains how contractionary policies can hamper economic growth?

Answer
A
They increase consumer demand.
B
They can increase inflation.
C
They reduce taxes which raises deficits.
D
They reduce disposable income.
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