Economics · Macroeconomics
Consider the following statements: 1. Additional spending by the Government is likely to have less impact on income than an additional transfer of the same amount to households. 2. Additional spending by the Government is likely to have less impact on income if it is not accompanied by an expansion in money supply. Which of the statements given above is/are correct?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 11 only
- 22 only✓
- 3Both 1 and 2
- 4Neither 1 nor 2
Correct answer
2 only
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