If the government enacts contractionary fiscal policy, it is most likely at which of the following equilibria in the graph shown?





A. A

B. B

C. C

D. D

D. D

Economics

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Holding everything else constant, a decrease in the price of GPS systems will result in

A) a decrease in the supply of GPS systems. B) an increase in the quantity of GPS systems demanded. C) an increase in the demand for GPS systems. D) an decrease in the quantity of GPS systems demanded.

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Refer to Scenario 14-2. As a result of Kristy's deposit, Bank A's reserves immediately increase by

A) $2,000. B) $8,000. C) $10,000. D) $50,000.

Economics