Consider the following statements regarding steps to be taken at the time of an economic recession:
- Cut in tax rates accompanied by an increase in interest rate.
- Increase in expenditure on public projects.
- Increase in tax rates accompanied by reduction of interest rate.
- Reduction of expenditure on public projects.
Which of the above-mentioned statements is correct?
1
Only 1
2
Only 2
3
Both 1 and 2
4
1,2 and 3