In the short-run macro model,which of the following increases when government spending increases?
A) The interest rate
B) Investment spending
C) Taxes
D) Spending on consumer durables
E) The money supply.
Correct Answer:
Verified
Q140: Which of the following is the most
Q141: A new tool that the Fed started
Q142: A larger controversy of the financial crisis
Q143: Q144: If the interest rate increases due to Q146: Many economists thought the Fed should have Q147: The difference between an interest rate and Q148: An increase in government spending will lead Q149: An increase in government purchases will increase Q150: In the short-run macro model,an increase in![]()
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents