Which are more popular with citizens, contractionary or expansionary government actions, and why? (5 points)


Contractionary, because they decrease the amount of money held by the government and put more in the hands of its citizens

Contractionary, because they decrease the amount of money held by the people and put more in the hands of the government

Expansionary, because they increase the amount of money held by the government and put less in the hands of its citizens

Expansionary, because they increase the amount of money held by the people and put less in the hands of the government

Respuesta :

Contractionary, people find them more helpful.

The correct answer is D) Expansionary, because they increase the amount of money held by the people and put less in the hands of the government.

What is more popular with citizens is Expansionary, because they increase the amount of money held by the people and put less in the hands of the government.

When the United States government apply expansionary monetary policies, what it is doing is to promote economic growth or reduce inflation. The government wants to expand the money supply quickly. Another measure is to lower interest rates in the short term. This kind of policy does not include tax reductions or government money to invest in new infrastructure projects.