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Business, 26.11.2019 01:31 aaronjcerrato

Assume that the government purchases multiplier is 1.9 and the tax multiplier is -1.2. suppose the government wants to offset a $61 billion short-run decrease in output by increasing both g and t, but is determined to keep its budget position unchanged (i. e., any change in g is exactly offset by an equal change in t). in this case, the government should increase g and t by (express your answer in billions of dollars, rounded to the nearest whole number):

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Assume that the government purchases multiplier is 1.9 and the tax multiplier is -1.2. suppose the g...
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