At a Given Output Level,a Temporary Reduction in Government Purchases

question 39

Multiple Choice

At a given output level,a temporary reduction in government purchases will

• A)increase desired saving, causing the IS curve to shift down and to the left.
• B)increase desired saving, causing the IS curve to shift up and to the right.
• C)decrease desired saving, causing the IS curve to shift down and to the left.
• D)decrease desired saving, causing the IS curve to shift up and to the right.

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Definitions:

Placenta

An organ that develops in the uterus during pregnancy, providing oxygen and nutrients to the growing baby while removing waste products from the baby's blood.

Socialization

The process by which individuals learn and adopt the norms, values, and behaviors appropriate to their society or social group.

Society

A large group of individuals living together in a more or less ordered community, often sharing common cultural and social norms.

Culture

The set of beliefs, practices, arts, customs, and social behavior of a particular nation or people.