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Sagot :
Answer:
Individual and corporate tax rates increase while spending for social programs decreases, both of which would lead the economy to slow down or contract.
Explanation:
The government often avoids contractionary fiscal policy because Individual and corporate tax rates increase while spending for social programs decrease,...economy to slow down or contract.
Why does the government avoid contractionary fiscal policy?
Contractionary fiscal policy involves the government reducing spending while increasing taxes.
As a result, individual and corporate tax rates will increase while the government will spend less on social programs. Both of these would cause the economy to contract.
Find out more on contractionary fiscal policy at https://brainly.com/question/1416825.
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