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Based on the given:
a = 100
I = 600
G = 300
X = 100
M = 100
*For very Y = 100, there is a C = 60
If the government chose to balance the budget, then the total income/ output level for the macro-
economy would increase. True or false? Please explain in a simple way so even a beginner may
understand correctly. Thank you so much!

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Based on the givena = 100I = 600G = 300X = 100M = 100F.pdf

  • 1. Based on the given: a = 100 I = 600 G = 300 X = 100 M = 100 *For very Y = 100, there is a C = 60 If the government chose to balance the budget, then the total income/ output level for the macro- economy would increase. True or false? Please explain in a simple way so even a beginner may understand correctly. Thank you so much!