Economics-- please help! Your country takes in $350 million each year in tax money but chooses to spend $150 million on various services it provides. What type of stance does your country take on fiscal policy?

neutral stance

expansionary stance

economic stance

contractionary stance

Contractionary fiscal policy. This occurs when government is spending less than the total tax revenue it receives. The policy is a result of raising taxes and/or reducing spending.

The business cycle is the periodic but irregular up-and-down movement in economic activity, measured by fluctuations in real gross domestic product (gdp) and other macroeconomic variables. a business cycle is typically characterized by four phases—recession, recovery, growth, and decline—that repeat themselves over time. economists note, however, that complete business cycles vary in length. the duration of business cycles can be anywhere from about two to twelve years, with most cycles averaging six years in length. some business analysts use the business cycle model and terminology to study and explain fluctuations in business inventory and other individual elements of corporate operations. but the term "business cycle" is still primarily associated with larger (industry-wide, regional, national, or even international) business trends.