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AP Macroeconomics
Unit 5 – Long–Run Consequences of Stabilization Policies
Topic 5.1
What is the primary short-term goal of contractionary fiscal policy?
To decrease taxes and reduce the national debt
To decrease aggregate demand and reduce inflation
To increase government spending and reduce the deficit
To increase aggregate demand and reduce unemployment
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AP Macroeconomics - 5.1 Fiscal and Monetary Policy Actions in the Short-Run
Key terms
Contractionary Fiscal Policy
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About Fiveable
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Resources
Cram Mode
AP Score Calculators
Study Guides
Practice Quizzes
Glossary
Crisis Text Line
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© 2024 Fiveable Inc. All rights reserved.
AP® and SAT® are trademarks registered by the College Board, which is not affiliated with, and does not endorse this website.
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