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Graph 32-1 -In Graph 32-1, an Increase in the Government Budget Deficit

Question 22

Multiple Choice

Graph 32-1
Graph 32-1    -In Graph 32-1, an increase in the government budget deficit causes the equilibrium in the economy to move from: A)  A to B in panel (a)  and from E<sub>1</sub> to E<sub>2</sub> in panel (c)  B)  B to A in panel (a)  and from E<sub>2</sub> to E<sub>1</sub> in panel (c)  C)  A to B in panel (a)  and from E<sub>2</sub> to E<sub>1</sub> in panel (c)  D)  B to A in panel (a)  and from E<sub>1</sub> to E<sub>2</sub> in panel (c)
-In Graph 32-1, an increase in the government budget deficit causes the equilibrium in the economy to move from:


A) A to B in panel (a) and from E1 to E2 in panel (c)
B) B to A in panel (a) and from E2 to E1 in panel (c)
C) A to B in panel (a) and from E2 to E1 in panel (c)
D) B to A in panel (a) and from E1 to E2 in panel (c)

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