An Equal Increase in Government Purchases and Taxes Will Cause

question 35

Multiple Choice

An equal increase in government purchases and taxes will cause

• A)an increase in real GDP.
• B)no change in real GDP.
• C)an increase in the budget surplus.
• D)a reduction in cyclically adjusted budget surplus.

---

Definitions:

Logic

The study of reasoning and argumentation, focusing on the principles that guide sound thinking and analysis.

Culture of the Organization

The shared values, beliefs, attitudes, and practices that characterize an institution or corporation.

AIDA Plan

A marketing strategy that stands for Attention, Interest, Desire, and Action, aimed at guiding potential customers through the stages of purchasing.

Single Event

An occurrence or happening that takes place at a specific time and location.