Refer to the Information Provided in Figure 9

Multiple Choice

Refer to the information provided in Figure 9.5 below to answer the questions that follow. Figure 9.5
-Refer to Figure 9.5. If the economy is in equilibrium and the government increases spending by $100 billion and increases taxes by $100 billion, equilibrium aggregate output

A) does not change.
B) increases by $100 billion.
C) increases by less than $100 billion.
D) increases by more than $100 billion.