Question

How would the U.S. government most likely react to a slump in the economy?
A. Reduce government spending in order to save money
B. Lower taxes to make it easier for consumers and businesses to
spend money
C. Do nothing because the economy is functioning healthily
D. Raise taxes to avoid out-of-control economic growth

Answer 1

Answer: B. Lower taxes to make it easier for consumers and businesses to make money.

Ap ex approved

Answer 2

Taxes in the United States reduced so that households and companies can spend money.

Option B. is correct.

Define economy.

An economy is a broad network of interrelated production and consuming activities that help determine how scarce funds are allocated.

Taxes in the United States have indeed been reduced to make it much easier for households and companies to spend money.

Option B. is correct.

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