If government expenditure on goods and services increase by $10 billion, then aggregate demand
A) increases by $10 billion.
B) increases by $10 billion multiplied by the government expenditure multiplier.
C) decreases by $10 billion multiplied by the government expenditure multiplier.
D) decreases by $10 billion.
E) increases by $10 billion multiplied by the tax multiplier.
B
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