B Political leaders pass large spending cuts.
When governments pass large spending cuts, it can result in decreased government spending, reduced consumer confidence, and slower economic growth, ultimately leading to a recession.
Which of these events would most likely cause a recession?
A The price of gasoline rises by ten percent.
B Political leaders pass large spending cuts.
C Many people find new jobs at the same time.
D The value of total net exports rises unexpectedly.
1 answer