Suppose that government wishes to affect the level of


Suppose that government wishes to affect the level of aggregate demand in the economy. All of the following, except one, are consistent policy measures. Which is the exception?

A. A tax increase and an increase in money supply

B. A tax reduction and an increase in money supply

C. An increase in government spending and an increase in money supply

D. A decrease in government spending and a decrease in money supply.

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Business Economics: Suppose that government wishes to affect the level of
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