Economics · Income and Employment Determination
Ceteris paribus, a rise in government expenditure without any change in taxes will lead to a/an:
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Immediate reduction in private investment
- 2Increase in autonomous savings
- 3Increase in aggregate demand✓
- 4Decrease in aggregate demand
Correct answer
Increase in aggregate demand
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