Congress has announced a new stimulus check will be issued to each tax payer who paid taxes in 2022. Which of the following is most likely true?(1 point)

Question

Responses

Congress is using expansionary fiscal policy to encourage spending during a recession
Congress is using expansionary fiscal policy to encourage spending during a recession

Congress has decided that the resulting increase in national debt will increase exports to foreign countries, reducing inflation
Congress has decided that the resulting increase in national debt will increase exports to foreign countries, reducing inflation

the economy has low unemployment and the stimulus checks are designed to decrease the inflationary pressures felt by businesses
the economy has low unemployment and the stimulus checks are designed to decrease the inflationary pressures felt by businesses

the economy is facing a recession and Congress is trying to decrease consumer and business spending

Answer 1

The most likely true statement is:

Congress is using expansionary fiscal policy to encourage spending during a recession.

This aligns with the purpose of issuing stimulus checks, which is generally to increase consumer spending and stimulate the economy during downturns.