Government saving is equal to
A) net taxes.
B) net taxes minus government expenditures.
C) net taxes plus government expenditures.
D) private savings minus government expenditures.
E) the quantity of investment demanded.
Question 2
A rightward shift of the aggregate demand curve leads to
A) an upward movement along the short-run Phillips curve.
B) neither a movement along nor a shift in the short-run Phillips curve.
C) a downward movement along the short-run Phillips curve.
D) a leftward shift of the short-run Phillips curve.
E) a rightward shift of the short-run Phillips curve.
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