During an economic recession, what action is a government most likely to take?

Show Answers

Attempt to reduce overall demand within the economyTry to lower consumer spending throughout the marketAim to maintain steady demand levels in the economySeek to boost the economy's supply capacityFocus on decreasing production costs for businesses

Explanation

In a recession, governments typically focus on increasing the economy's supply to stimulate growth and recovery, rather than reducing demand or merely stabilizing it.