Multiple Choice
Assume Congress enacts a $10 billion decrease in spending and a $10 billion decrease in tax revenue. The result of this balanced-budget approach is a:
A) $10 billion decrease in aggregate demand.
B) $20 billion decrease in aggregate demand.
C) $100 billion decrease in aggregate demand.
D) $10 billion increase in aggregate demand.
Correct Answer:
Verified
Correct Answer:
Verified
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