Post Utme Rhema University 2025 Economics Question 10

Practice objective / multiple choice question 10 from the 2025 Post Utme Rhema University Economics examination.

Post Utme Rhema University 2025 Economics Objective / Multiple Choice
Question 10 POST_UTME_RHEMA_UNIVERSITY • 2025 • ECONOMICS • objective

A government's budget is given by the equation B = T + I, where B is the budget, T is taxation, and I is interest on debt. If the government's budget is $100 billion, taxation is $50 billion, and interest on debt is $20 billion, what is the government's fiscal policy?

Answer Options

A. Expansionary
Correct Answer B. Contractionary
C. Neutral
D. Uncertain
Correct Answer
B
Correct Option:
Contractionary

About This Question

This is Post Utme Rhema University 2025 Economics Question 10. It is one of the objective questions from the 2025 Post Utme Rhema University Economics examination.

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