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When government is added to the simplified Keynesian model, if government must balance its budget: a government spending will have no impact on the economy.
When government is added to the simplified Keynesian model, if government must balance its budget: a government spending will have no impact on the economy. b government spending is equal to tax revenues. c the multiplier effect disappears. d equilibrium will be at a higher level of real GDP than if it can deficit-spend
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