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Business, 15.04.2021 16:30 mhuerta71001

What is the​ long-run effect of a permanent increase in government​ spending? A. The decline in​ investment, consumption, and net exports exactly offsets the increase in government​ spending; therefore, real GDP remains unchanged. B. ​Investment, consumption, and net exports decline but by less than the increase in government​ spending; therefore, real GDP increases. C. ​Investment, consumption, and net exports remain​ unchanged; therefore, there is no change in real GDP. D. ​Investment, consumption, and net exports decline but by more than the increase in government​ spending; therefore, real GDP decreases.

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What is the​ long-run effect of a permanent increase in government​ spending? A. The decline in​ inv...

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