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An economy is in a below full-employment equilibrium. What is the effect on real GDP and the price level of fiscal stimulus that returns the
An economy is in a below full-employment equilibrium. What is the effect on real GDP and the price level of fiscal stimulus that returns the economy to full employment? Fiscal stimulus that returns the economy to full employment _______ consumption and investment (increase in aggregate demand) and real GDP, and the price level typically _______. Group of answer choices increases; falls increases; rises. decreases; falls does not change; does not change
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