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A $100 increase in both government expenditure and taxes will Select one: lead to a $100 decrease in the equilibrium level of output b.

A $100 increase in both government expenditure and taxes will

Select one:

a. lead to a $100 decrease in the equilibrium level of output

b. lead to a greater than $100 increase in the equilibrium level of output

c. cancel each other out so that the equilibrium level of output will remain unchanged

d. lead to a $100 increase in the equilibrium level of output

Top Answer

c. cancel each other out so that the equilibrium level of output will remain... View the full answer

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c. cancel each other out so that... View the full answer

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