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  3. Study Set
    The Macro Economy Today
  4. Exam
    Exam 9: Aggregate Demand
  5. Question
    In Figure 9
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In Figure 9

Question 31

Question 31

Multiple Choice

  In Figure 9.8,if full-employment income is produced at $400 billion,the government can reduce a recessionary gap by A) Decreasing government spending. B) Decreasing investment spending. C) Decreasing income taxes on consumers. D) Increasing taxes. In Figure 9.8,if full-employment income is produced at $400 billion,the government can reduce a recessionary gap by


A) Decreasing government spending.
B) Decreasing investment spending.
C) Decreasing income taxes on consumers.
D) Increasing taxes.

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