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A Temporary Decrease in Government Purchases Would Cause

Question 75

Multiple Choice

A temporary decrease in government purchases would cause


A) a rightward shift in the saving curve and a leftward shift in the investment curve.
B) a rightward shift in the saving curve and a rightward shift in the investment curve.
C) a rightward shift in the saving curve, but no shift in the investment curve.
D) no shift in the saving curve, but a leftward shift in the investment curve.

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