The greatest expansionary effect on the economy would result from:
A) a decrease in taxes of $100 million.
B) an increase in transfer payments of $100 million.
C) an increase in government purchases of $100 million.
D) any of the three; they all have the same impact on the economy.
Correct Answer:
Verified
Q61: An increase in government purchases of goods
Q62: An increase in taxes and a decrease
Q63: To encourage higher employment, the government should
Q64: To restrain inflation, the government should reduce:
A)
Q65: An increase in government taxes and transfer
Q67: If the government reduces its purchases of
Q68: The expansionary impact of an increase in
Q69: If the federal government were to increase
Q70: If the government withdrew $50 billion from
Q71: Deliberate Congressional action to change government purchases,
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