To eliminate an inflationary gap, Keynesian theory indicates that government should

A) increase taxes.
B) decrease taxes.
C) increase government purchases.
D) decrease government purchases.
E) either a or d

E

Economics

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Refer to Table 2.1. GDP in 2012 is

A) $190.00. B) $199.50. C) $215.00. D) $267.50.

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If the federal government balanced its budget, its tax revenues would be equal to government expenditures.

Answer the following statement true (T) or false (F)

Economics