A decrease in government purchases or an increase in taxes, other things being equal, will tend to:
A) increase interest rates and increase net exports as a result.
B) increase interest rates and decrease net exports as a result.
C) decrease interest rates and increase net exports as a result.
D) decrease interest rates and decrease net exports as a result.
Correct Answer:
Verified
Q27: A larger crowding-out effect:
A)increases the magnitude of
Q28: Which of the following is false?
A)Expansionary fiscal
Q29: An increase in government purchases or a
Q30: A larger crowding-out effect:
A)increases the magnitude of
Q31: A smaller crowding-out effect:
A)increases the magnitude of
Q33: A larger crowding-out effect:
A)increases the magnitude of
Q34: Which of the following is false?
A)The result
Q35: A larger crowding-out effect:
A)increases the magnitude of
Q36: Which of the following is true?
A)When the
Q37: A smaller crowding-out effect:
A)increases the magnitude of
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