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please explain thank you R Imagine that in 2017 the economy is in long-run equilibrium. The stock prices rise more than expected and stay high

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please explain

thank you

R Imagine that in 2017 the economy is in long-run equilibrium. The stock prices rise more than expected and stay high for some time. Suppose policy makers respond to the stock market boom. To offset the effect of the stock market boom on the economy, the government raises both government spending and taxes. raises government spending and cuts taxes cuts government spending and raises taxes cuts government spending and taxes

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