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When the federal government uses taxation and purchasing actions to stimulate the economy it is conducting 0.4 Multiple Choic
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Answer #1

Option '3' is correct.

Fiscal Policy.

Fiscal policy refers to manipulation of government spending and taxes to stabilize domestic output, employment and the price level fact that equal increases in government spending and taxation will be contractionary manipulation of government spending and taxes to achieve greater equality in the distribution of income.

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