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    Business
  3. Study Set
    Macroeconomics Study Set 10
  4. Exam
    Exam 13: Exchange Rates, business Cycles, and Macroeconomic Policy in the Open Economy
  5. Question
    A Temporary Increase in Government Purchases Would ________ the Domestic
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A Temporary Increase in Government Purchases Would ________ the Domestic

Question 76

Question 76

Multiple Choice

A temporary increase in government purchases would ________ the domestic real interest rate and ________ net desired saving (desired saving less desired investment) in the economy.


A) lower; increase
B) lower; decrease
C) raise; increase
D) raise; decrease

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