If a government raises its expenditures by $50 billion and at the same time levies a lump-sum tax of $50 billion, the net effect on the economy will be to
A)increase GDP by less than $50 billion.
B)increase GDP by more than $50 billion.
C)increase GDP by $50 billion.
D)make no change in GDP.

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The Answer of If a government raises its expenditures by $50 billion and at the same time levies a lump-sum tax of $50 billion, the net effect on the economy will be to
A)increase GDP by less than $50 billion.
B)increase GDP by more than $50 billion.
C)increase GDP by $50 billion.
D)make no change in GDP.

If a Government Raises Its Expenditures by $50 Billion and at the Same