Increases the equilibrium gdp also the size

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Reference no: EM1320367

Q. Equal increases in government purchases also taxes will:

A. increases the equilibrium GDP also the size of that increase varies directly with the size of the MPC.

B. increases the equilibrium GDP also the size of that increase is independent of the size of the MPC.

C. increases the equilibrium GDP also the size of that increase varies inversely with the size of the MPC.

D. decreases the equilibrium GDP also the size of that decrease is independent of the size of the MPC.

Reference no: EM1320367

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