A government chooses to implement a more deflationary fiscal policy together with a more reflationary monetary policy. Which pair of changes in policy instruments would be consistent with this?
- Agovernment expenditure decrease, interest rate decrease, taxation increase
- Bgovernment expenditure decrease, interest rate decrease, taxation decrease
- Cgovernment expenditure increase, interest rate increase, taxation decrease
- Dgovernment expenditure increase, interest rate increase, taxation increase