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    Macroeconomics Study Set 57
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    Exam 13: Fiscalpolicy
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    If the Government Were to Decrease Spending, Aggregate Demand Would
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If the Government Were to Decrease Spending, Aggregate Demand Would

Question 88

Question 88

Multiple Choice

If the government were to decrease spending, aggregate demand would _______ and GDP would _______.


A) fall; fall as well.
B) rise; fall.
C) fall; rise.
D) rise; rise as well.

Correct Answer:

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