Consider the modeling of fiscal policy in a simple macroeconomic model. Which of the following government choices would most likely be represented by an increase in government spending, G? O a) An increase in pension payments. 0 b) A reduction in spending on imported military equipment. 0 c) An increase in the sales tax (GST or HST) rate. 0 cl) A reduction in employment insurance benefits. 0 e) An increase in spending on publicly provided health-care. Consider the simple macroeconomic model, with government and trade. Which of the following changes would cause a decrease in the simple multiplier in this model? 0 a) An increase in the marginal propensity to import. O b) A decrease in the tax rate. O c) An increase in government purchases. 0 d) Adecrease in investment. 0 e) An increase in the marginal propensity to consume. In the demand-determined macroeconomic model with government and trade, which of the following changes would lead to a decrease in the Canadian marginal propensity to import? O a) A depreciation of the Canadian dollar. 0 b) An appreciation of the Canadian dollar. 0 c) A decrease in foreign income. 0 d) An increase in foreign income. 0 e) An increase in the marginal propensity to consume. Assume that at "full employment", the unemployment rate is 5%. If the current unemployment rate is 4%, the most appropriate fiscal policy response would be to: O a) Increase the marginal propensity to consume, MPC. O b) Reduce the net tax rate, t. O c) Increase net exports, NX. Q d) Reduce government spending, G. 0 e) Increase autonomous investment