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the claim

Contractionary fiscal policy reduces aggregate demand.

the verdict
SUPPORTED
the evidence backs this
Recorded sources
5 sources for · 0 against

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Is it true that Contractionary fiscal policy reduces aggregate demand?

Yes. Multiple macroeconomics textbooks state directly that contractionary fiscal policy reduces aggregate demand, and a regional study finds fiscal consolidations recessionary in Latin America.

Verdict: SUPPORTED · 5 sources for, 0 against · Last checked

The private library was unavailable for some searches in this check. Missing library results are not evidence against the claim.

Evidence for · 5
Fiscal policy
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Fiscal policy. (n.d.). en.wikipedia.org. https://en.wikipedia.org/wiki/Fiscal_policy

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More for · 4
Money, banking, and economic analysis
1976
Get citation
1942-, S. T. D. (1976). Money, banking, and economic analysis. archive.org. https://archive.org/details/moneybankingecon00simp_0

Macroeconomics
2006
Get citation
R, K. P. (2006). Macroeconomics. archive.org. https://archive.org/details/macroeconomics0000krug_j7v4

Essentials of economics
2011
Get citation
R, K. P. (2011). Essentials of economics. archive.org. https://archive.org/details/essentialsofecon0000krug

Fiscal Consolidations and Informality in Latin America and the Caribbean
2020
Get citation
Fiscal Consolidations and Informality in Latin America and the Caribbean. (2020). shs.hal.science. https://shs.hal.science/halshs-02492309v1

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