Author Question: Other things equal, an increase in government purchases combined with an equal increase in taxes ... (Read 167 times)

nelaaney · **on:** Jun 30, 2018

Other things equal, an increase in government purchases combined with an equal increase in taxes would:
a. increase AD.
b. decrease AD dramatically.
c. decrease AD slightly.
d. leave AD unchanged.

Question 2

Using money as a unit of account lowers information costs compared to barter exchanges.
a. True
b. False
Indicate whether the statement is true or false