Consider the economy described in box 1 consider also a, Business Economics

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Consider the economy described in box 1 consider also a

Consider the economy described in Box 1. Consider also a “balanced budget” increase in G and T (in other words, G and T both rise by the same amount). Each increase of 1 unit in G and T will a) increase r by .005 b) increase r by .015 c) decrease r by .005 d) increase r by .015 e) None of the above

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