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As Compared to Spending Generated by a Tax Cut, an Increase

Question 154

Multiple Choice

As compared to spending generated by a tax cut, an increase in government expenditures is likely to affect aggregate demand


A) more quickly and more likely to be spent on projects with little benefit.
B) more quickly but less likely to be spent on projects with little benefit.
C) less quickly but more likely to be spent on projects with little benefit.
D) less quickly and more likely to be spent on projects with little benefit.

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