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If government spending is held constant and Ricardian equivalence holds,

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If government spending is held constant and Ricardian equivalence holds,

If government spending is held constant and Ricardian equivalence holds,
A) an increase in government savings is always matched by an equal increase in private savings.
B) an increase in the government budget deficit is always matched by a reduction in private savings.
C) an increase in government savings is always matched by an increase in the government budget deficit.
D) an increase in government savings is always matched by an equal reduction in private savings.

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Macroeconomics

Edition: 5^th

Author: Williamson

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Gordis

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Ao9 Author

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8 years ago

You're sharp, thanks!

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Gordis

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8 years ago

Please mark it solved once you get a chance.

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