In Which Case Can We Be Sure Real GDP Rises

question 45

Multiple Choice

In which case can we be sure real GDP rises in the short run?

• A)government purchases increase and taxes rise.
• B)government purchases increase and taxes fall.
• C)government purchases decrease and taxes rise.
• D)government purchases decrease and taxes fall.

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Definitions:

National Life

The characteristics, values, and societal structures that define the existence and collective identity of a nation.

1945

The year marking the end of World War II, leading to significant global political changes, including the establishment of the United Nations.

1939

The year marked by the start of World War II after Germany's invasion of Poland, significantly impacting global politics, society, and economics.