Multiple Choice
A change in government transfers shifts the aggregate demand curve by _____ than a change in government spending for goods and services and has a _____ effect on real GDP.
A) more; smaller
B) more; larger
C) less; smaller
D) less; larger
Correct Answer:

Verified
Correct Answer:
Verified
Q95: The theory of Ricardian equivalence argues that
Q96: A contractionary fiscal policy is one that
Q328: If policy makers want to increase real
Q329: The 2009 U.S. stimulus was a(n) _
Q330: Use the following to answer questions:<br>Figure: Fiscal
Q332: Use the following to answer questions :<br>Figure:
Q334: The U.S. national debt as a percentage
Q335: Many economists caution against extremely active stabilization
Q336: The multiplier effect of government purchases of
Q337: Holding everything else constant, the government's budget