An increase in government spending by one basket ends up in a. increasing the equilibrium GDP by more than one basket as it creates a chain reaction of increased income and resultant increase in consumption. b. increasing the equilibrium GDP by one basket because G_1 is part of Y_1. c. increasing the equilibrium GDP by less than one basket because the interest rate will rise to clear excess demand created by the increase. d. having no effect on the equilibrium GDP because an increase in G_1 is offset by the equal amount of increase in T_1