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Which of the Following Would Increase the Size of the Government

Question 174

Multiple Choice

Which of the following would increase the size of the government purchases multiplier?


A) an increase in the tax rate
B) an increase in the quantity of imports purchased by households from an increase in income
C) a decrease in the amount of consumption spending by households from an increase in income
D) a decrease in the amount saved by households from an increase in income

Correct Answer:

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