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If National Output Is Fixed and There Is a 10

Question 31

Multiple Choice

If national output is fixed and there is a 10 percent increase in total spending,the price level will


A) fall by 10 percent.
B) remain constant.
C) rise by 10 percent.
D) rise by 10 percent times the multiplier.
E) rise by 10 percent times the dollar value of output.

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