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Basic Question 2 of 12
A cut in defense spending is an example of a(n) ______.
B. expansionary fiscal policy
C. contractionary fiscal policy
A. expansionary monetary policy
B. expansionary fiscal policy
C. contractionary fiscal policy
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Learning Outcome Statements
describe tools of fiscal policy, including their advantages and disadvantages;
explain the implementation of fiscal policy and difficulties of implementation;
determine whether a fiscal policy is expansionary or contractionary;
CFA® 2024 Level I Curriculum, Volume 2, Module 12.