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Other things the same, if the government increases transfer payments.pdf

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Other things the same, if the government increases transfer payments to households and the marginal propensity to consume is positive, then the effect of this on the governments budget Other things the same, if the government increases transfer payments to households and the marginal propensity to consume is positive, then the effect of this on the governments budget will make public saving rise. will make the equilibrium interest rate rise. will make investment of equilibrium rise. All the above are correct..

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Other things the same, if the government increases transfer payments to households and the marginal propensity to consume is positive, then the effect of this on the governments budget Other things the same, if the government increases transfer payments to households and the marginal propensity to consume is positive, then the effect of this on the governments budget will make public saving rise. will make the equilibrium interest rate rise. will make investment of equilibrium rise. All the above are correct.

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  • 1. Other things the same, if the government increases transfer payments to households and the marginal propensity to consume is positive, then the effect of this on the governments budget Other things the same, if the government increases transfer payments to households and the marginal propensity to consume is positive, then the effect of this on the governments budget will make public saving rise. will make the equilibrium interest rate rise. will make investment of equilibrium rise. All the above are correct.