Figure 11.2 shows the relationship between the price level and real GDP. Which of the following would be the result of an increase in government purchases?
A) A movement from Q3 to Q2
B) A movement from e' to e*
C) A movement from e" to e*
D) A movement from Q2 to Q3
E) A movement from Q1 to Q3
Correct Answer:
Verified
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