In the short-run, a government budget surplus produced by tax increases
A) increases consumption spending and shifts the LM curve to the right.
B) increases consumption spending and shifts the IS curve to the right.
C) decreases consumption spending and shifts the LM curve to the left.
D) decreases consumption spending and shifts the IS curve to the left.
Correct Answer:
Verified
Q53: The almost doubling of the debt-to-GDP ration
Q54: Each of the following was a factor
Q55: Each of the following is a potential
Q56: In the short-run, a government budget deficit
Q57: In the short-run, the effect on real
Q59: In the short-run, the effect on real
Q60: An increase in the government's budget deficit
A)
Q61: A decrease in the government's budget deficit
A)
Q62: Higher full-employment deficits
A) reduce total savings, raise
Q63: Lower full-employment deficits
A) reduce total savings, raise
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