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A political commentator argues: Congress and the president are more likely to enact an expansionary fiscal policy than a contractionary fiscal policy because expansionary policies are popular and contractionary policies are unpopular.
Do you agree or disagree?
1. Agree because expansionary fiscal policies create employment and increase GDP whereas contractionary fiscal policies impose an artificial recession on the economy.
2. Disagree because both contractionary and expansionary fiscal policies create economic woes for the public and are therefore unpopular.
3. Disagree because both contractionary and expansionary fiscal policies make the economy grow by increasing income, output and employment and are therefore popular.
4. Disagree because contractionary fiscal policies create employment and increase GDP where expansionary fiscal policies impose an artificial recession on the economy.
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