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-Refer to Figure 9-6

Question 66

Multiple Choice

-Refer to Figure 9-6.Starting from a $200 billion deficit,the government reduces spending and eliminates the deficit.Investment spending will A) decrease by $100 billion B) decrease by $200 billion C) increase by $100 billion D) increase by $200 billion E) not be affected by government budget deficit
-Refer to Figure 9-6.Starting from a $200 billion deficit,the government reduces spending and eliminates the deficit.Investment spending will


A) decrease by $100 billion
B) decrease by $200 billion
C) increase by $100 billion
D) increase by $200 billion
E) not be affected by government budget deficit

Correct Answer:

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