What are the two variables that the government uses

Reference no: EM133614661

Problem: Explain by words and show graphically the effect of an Expansionary Fiscal Policy (EFP) and a Contractionary Fiscal Policy (CFP): What are the 2 variables that the government uses to apply expansionary and contractionary fiscal policy? How are they used? Illustrate graphically the effect of the EFP and CFP in the economy. using the AD/AS model.

Reference no: EM133614661

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