A Temporary Increase in Government Spending ________, and a Permanent

Multiple Choice

A temporary increase in government spending ________, and a permanent increase in government spending ________.

A) shifts the labor supply up; shifts the labor supply up
B) shifts the labor supply up; has no impact on labor supply
C) shifts the labor demand up; shifts the labor supply down
D) has no impact on labor demand; shifts the labor supply down
E) shifts the labor supply up; shifts the labor demand down