Suppose the government increases its purchases by Rs16 billion. If the multiplier effect exceeds the crowding out effect, then ?

Question

Xaibi Aslam · Accepted Answer

The aggregate demand curve shifts to the right by more than Rs 16 billion

Xaibi Aslam · Answer

The aggregate supply curve shifts to the right by more than Rs 16 billion

Xaibi Aslam · Answer

The aggregate demand curve shifts to the left by more than Rs 16 billion

Xaibi Aslam · Answer

the aggregate supply curve shifts to the left by more than Rs 16 billion

Question #48130