Suppose that in response to a foreign crisis the goverment, Ask an Expert

Economics

Suppose that in response to a foreign crisis, the goverment increases defenst spending to $50 billion. How would the increase in defense spending affect the economy? How would the effects differ depending on the size and sign of the output gap when the crisis began?

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Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M9474764

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