Everything Else Held Constant,a Balanced Budget Increase in Government Spending

question 92

Multiple Choice

Everything else held constant,a balanced budget increase in government spending (that is,an increase in government spending that is matched by an identical increase in net taxes) will

• A)increase aggregate demand,but not by as much as if just government spending increases.
• B)increase aggregate demand by more than if just government spending increases.
• C)not affect aggregate demand.
• D)decrease aggregate demand.

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Definitions:

Mesosystem

The interlocking settings that influence the child, such as the interaction of the school and the larger community.

Incorporates

To include or integrate parts into a whole, often referring to the inclusion of multiple aspects or elements into a single entity.

Eliminates

Refers to the act of removing or getting rid of something completely.

Evolutionary Psychologist

A professional who studies how evolutionary principles help explain the structure and function of the human mind and behavior.