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Assume that Autaria has a law that requires its government to maintain a balanced budget at all times. Does this law imply that Autaria's government

Assume that Autaria has a law that requires its government to maintain a balanced budget at all times. Does this law imply that Autaria's government can no longer use a temporary increase in government spending to increase aggregate output in the short-run? What is the effect of a permanent increase in government spending on aggregate output in the shortrun? Explain with the help of a figure.

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