Multiple Choice
Which of the following would increase the government purchases component of Canada's GDP?
A) The federal government pays $3 billion in pensions to government workers.
B) The federal government pays $3 billion in interest on the national debt.
C) The federal government pays $3 billion in salaries to soldiers in the military.
D) The federal government pays $3 billion in interest to foreign holders of Canadian government bonds.
E) The federal government pays $3 billion to Employment Insurance recipients.
Correct Answer:

Verified
Correct Answer:
Verified
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