Reduction in tax rate in the economy is an example of ________.
expansionary fiscal policy
Reducing tax rates increases disposable income, boosts consumption and investment, and thereby stimulates the economy. This is a classic case of expansionary fiscal policy, which aims to increase aggregate demand.
Similar Questions
Marginal product of labour first rises and then starts falling. This is due to:
Which of the following factors of production brings together all the other factors of production?
Before the year ________, India was in the first stage of demographic transition.
The Comptroller and Auditor-General shall have the authority to audit and report on the account of stores and stock kept in any office or department of the Union or of a State under Section ______ of the Comptroller and Auditor-General's (Duties, Powers and Conditions of Service) Amendment Act, 1971.
Article ______ states that the Comptroller and Auditor-General shall not be eligible for further office either under the Government of India or under the Government of any State after he has ceased to hold his office.
Which of the following statements is true with respect to the law of demand?
The 14th Finance Commission did NOT recommend grants to states for _______.
Price taking behaviour - is a key characteristic of which market form?
Elasticity of Demand is defined as:
The recommendations of the 15th Finance Commission on the revenue distribution consider:
Important Questions from Indian Economic and Human Geography
In India, oil wells are found in:
Which of the following is a non-Conventional source of energy?
Select the top Four States with highest population according to census 2011
In which of the following district Manganese is found ?
Monu went on a trip, when he return back he told his classmates that he travelled the longest National Highway of India. You have to tell on which of the following tour he was ?
