JKSSB Mock Tests

If a government wants to boost economic growth in a recession, which measure is it likely to take?

A. Increase taxes significantly
B. Reduce public spending
C. Implement strict trade barriers
D. Increase public spending
Answer: Option D
Solution (By JKSSB Mock Tests Team)
During an economic recession, a government typically employs expansionary fiscal policy, which centers on increasing public spending to artificially stimulate aggregate demand and job creation.
This Question Belongs to: General knowledge mcqs Economics set 2

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