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When the Government Attempts to Cut the Economic Pie into More

Question 40

Multiple Choice

When the government attempts to cut the economic pie into more equal slices, what happens?


A) It is easier to cut the pie, and therefore the economy can produce a larger pie.
B) The government can more easily allocate the pie to those most in need.
C) The pie gets smaller, and there will be less pie for everyone.
D) The economy will spend too much time cutting and loses the ability to produce enough pie for everyone.

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