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If the federal government decreases spending or increases taxes, the goal is to move the AD...

If the federal government decreases spending or increases taxes, the goal is to move the AD curve to the left/right and would be done to fight a recession/inflation; If the federal government increases spending or decreases taxes, the goal is to move the AD curve to the left/right and would be done to fight a recession/inflation.

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If the federal government decreases spending or increases taxes, the goal is to move the AD curve to the LEFT and would be done to fight INFLATION If the federal government increases spending or decreases taxes, the goal is to move the AD curve to the RIGHT  and would be done to fight a RECESSION

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