Explanation

An economic recession is characterized by a significant slowdown in economic activity, falling corporate investments, rising unemployment, and sluggish consumer demand.

– Option B is correct: Adopting a counter-cyclical fiscal policy through an increase in expenditure on public projects (infrastructure, roads, energy) directly pumps money into the economy. This activates the Keynesian multiplier effect, spurring employment, enhancing disposable household income, and reviving private demand.
– Options A and C: Increasing interest rates discourages borrowing, while raising taxes reduces purchasing power — both are contractionary.
– Option D: Reducing public spending contracts the economy further and deepens the recessionary gap.

Hence, the most appropriate measure is Option B.