Asked by Teesean Patterson on May 09, 2024

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The government's $168 billion plan to stimulate the softening economy in 2008 failed partly because the tax cuts were temporary.

Tax Cuts

Reductions in the amount of taxes that individuals or corporations are required to pay to the government.

Government's Plan

A systematic arrangement of actions or strategies designed by a government to achieve specific outcomes or objectives.

Softening Economy

A term used to describe an economic state where growth is slowing down, signaling a potential downturn or lesser economic activity.

  • Acquire knowledge on the working principles and boundaries of discretionary fiscal policy.
  • Investigate the effects of fiscal policies on real GDP and the considerations critical for their success.
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Sydney EberthMay 13, 2024
Final Answer :
True
Explanation :
The temporary nature of the tax cuts meant that the boost in consumer spending was short-lived and did not have a lasting impact on the economy.