A decrease in government spending

a. increases the interest rate and so investment spending increases.
b. increases the interest rate and so decreases investment spending decreases.
c. decreases the interest rate and so investment spending increases.
d. decreases the interest rate and so investment spending decreases.


c

Economics

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Indicate whether the statement is true or false

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A price ceiling that is set above the equilibrium price:

A. will have no effect on the market. B. will lead to a black market. C. will lead to excess supply in the market. D. will lead to excess demand in the market.

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A year-long drought that destroys most of the summer's crops would be considered a:

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

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Economics