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Refer to the Information Provided in Figure 9

Question 258

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Refer to the information provided in Figure 9.5 below to answer the questions that follow. 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 $200 billion and increases taxes by $200 billion, equilibrium aggregate output A)  does not change. B)  increases by $200 billion. C)  increases by less than $200 billion. D)  increases by more than $200 billion. Figure 9.5
-Refer to Figure 9.5. If the economy is in equilibrium and the government increases spending by $200 billion and increases taxes by $200 billion, equilibrium aggregate output


A) does not change.
B) increases by $200 billion.
C) increases by less than $200 billion.
D) increases by more than $200 billion.

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