According to Ricardian Equivalence
A) the effect of a government spending financed by borrowing should be smaller than the effect of a government spending increase financed by raising taxes.
B) the effect of a government spending financed by borrowing should be larger than the effect of a government spending increase financed by raising taxes.
C) the effect of a government spending financed by borrowing should be the same as the effect of a government spending increase financed by raising taxes.
D) the effect of a government spending financed by borrowing should be smaller than the effect of a government spending increase financed by printing new money.
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