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    The Economy Today Study Set 1
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    Exam 11: Fiscal Policy
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    The Total Change in Aggregate Spending Generated by Increased Government
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The Total Change in Aggregate Spending Generated by Increased Government

Question 16

Question 16

Multiple Choice

The total change in aggregate spending generated by increased government spending depends on the


A) Marginal propensity to consume.
B) Size of the recessionary GDP gap.
C) AD shortfall.
D) AD excess.

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