Contractionary fiscal policy is a form of fiscal policy in which taxes are increased and government expenditure is decreased.<\/p>\n
When government spending is reduced along with an increase in taxes, it leaves a lower amount of capital available for private business, thus causing a contraction of the economy.<\/p>\n
This type of policy is used to control inflation.<\/p>\n","protected":false},"excerpt":{"rendered":"
Contractionary fiscal policy is a form of fiscal policy in which taxes are increased and government expenditure is decreased. When government spending is reduced along with an increase in taxes, it leaves a lower amount of capital available for private business, thus causing a contraction of the economy. This type of policy is used to… Continue reading Contractionary Fiscal Policy<\/span><\/a><\/p>\n","protected":false},"author":10350,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"class_list":["post-232921","page","type-page","status-publish","hentry","entry"],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/pages\/232921","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10350"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=232921"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/pages\/232921\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=232921"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}