If Government Spending Increases, Then the IS Curve Shifts to the Right

question 9

True/False

If government spending increases, then the IS curve shifts to the right.

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Definitions:

Net Income

The total earnings of a company after subtracting all expenses, taxes, and costs from total revenue, representing the profit.

Dividends Paid

Cash or other forms of assets distributed by a corporation to its shareholders out of its earnings.

Average Collection Period

The average number of days it takes a company to receive payment after a sale has been made.