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    Macroeconomics Study Set 1
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    Exam 5: A Closed-Economy One-Period Macroeconomic Model
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    In the Model Where G = QT,when Q Increases,the Income
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In the Model Where G = QT,when Q Increases,the Income

Question 19

Question 19

Multiple Choice

In the model where G = qT,when q increases,the income effect


A) increases both C and G.
B) decreases G and increases C.
C) reduces C and increases G.
D) reduces both C and G.
E) increases C and decreases G.

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