According to the Traditional Keynesian Approach, If the Government Increases

question 74

Multiple Choice

According to the traditional Keynesian approach, if the government increases spending by $10 million and raises current taxes by $10 million at the same time, then

• A) real GDP will increase by $10 million.
• B) real GDP will decrease by $10 million.
• C) real GDP will decrease by more than $10 million.
• D) real GDP will remain the same.

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Definitions:

Evolutionary History

The chronological sequence of biological events and processes that has led to the development and diversification of life on Earth over millions of years.

Phylogeny

The evolutionary history and lineage of species or a group of species.

Genetic Variation

The diversity in gene frequencies within a population, which contributes to the population's ability to adapt and evolve.

Adaptive Radiation

The rapid evolution of diversely adapted species from a common ancestor when introduced into new environmental circumstances.