What is the effect of the 400 increase in government, Business Economics

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What is the effect of the 400 increase in government

What is the effect of the $400 increase in government spending and a $600 tax cut on the following indicators, ceteris paribus: (1) the change in output (GDP), (2) annual budget deficit, (3) in what context should the policy be used. Use a mpc of .75.

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