In the IS-LM Model,an Increase in Government Spending in the Goods

question 31

Multiple Choice

In the IS-LM model,an increase in government spending in the goods market has an impact on the money market because

• A)it increases the money supply.
• B)it increases income,which increases money demand.
• C)it decreases income,which decreases money demand.
• D)it increases interest rates,which decreases money demand.
• E)none of the above.

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Definitions:

Repressor

A protein that binds to specific DNA sequences, preventing the transcription of genetic information from DNA to mRNA.

Acetyl Groups

Organic functional groups consisting of a methyl group single-bonded to a carbonyl. The formula is CH3CO-, significant in metabolic processes.

Histones

Proteins that package and order the DNA into structural units called nucleosomes, playing a critical role in gene regulation.

Transcription

The process of synthesizing RNA from a DNA template, a key step in gene expression and protein production.