Consider a Simple Macro Model with Government and Demand-Determined Output

Multiple Choice

Consider a simple macro model with government and demand-determined output.If the government wants to reduce equilibrium national income by $20 billion,G must be

A) raised by $20 billion times the simple multiplier.
B) raised by $20 billion divided by the simple multiplier.
C) lowered by $20 billion times the simple multiplier.
D) lowered by $20 billion divided by the simple multiplier.
E) lowered by $20 billion.