Why is government action that increases the deficit an expansionary fiscal policy? Government expansionary fiscal policy includes
A. decreasing inventories, which increases the deficit.
B. increasing taxes, which increases the deficit.
C. increasing the interest rate, which increases the deficit.
D. increasing government spending, which increases the deficit.
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Home » Business » Why is government action that increases the deficit an expansionary fiscal policy? Government expansionary fiscal policy includes A. decreasing inventories, which increases the deficit. B. increasing taxes, which increases the deficit. C.