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Refer to the Information Provided in Figure 12

Question 94

Multiple Choice

Refer to the information provided in Figure 12.2 below to answer the questions that follow. Refer to the information provided in Figure 12.2 below to answer the questions that follow. Figure 12.2 -Refer to Figure 12.2. The tax multiplier is largest (in absolute value) when the aggregate demand curve shifts from A) AD<sub>1</sub> to AD<sub>2</sub>. B) AD<sub>3</sub> to AD<sub>4</sub>. C) AD<sub>5</sub> to AD<sub>6</sub>. D) The output multiplier is the same for all AD curve shifts shown in the figure. Figure 12.2
-Refer to Figure 12.2. The tax multiplier is largest (in absolute value) when the aggregate demand curve shifts from


A) AD1 to AD2.
B) AD3 to AD4.
C) AD5 to AD6.
D) The output multiplier is the same for all AD curve shifts shown in the figure.

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