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Explain clearly TRUE/ FALSE (a) The Paroto optimum implies MRS = MRT while the competitive equilibrium requires MRT E W True False (h) Government spending

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TRUE/ FALSE (a) The Paroto optimum implies MRS = MRT while the competitive equilibrium requires MRT E W True False (h) Government spending shocks in the closed-economy. single-period macroeconomic model explain business cycle behavior very well. (c] An increase in goverment spending in the closed-economy, single-period macroeconomic model resuits in increased employment, consumption and output. True False

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