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smitch6 smitch6
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6 years ago
If consumers face higher interest rates when their savings is positive than when their savings is negative,
A) Ricardian equivalence holds.
B) there is no asymmetric information.
C) the government may be able to increase welfare by cutting taxes.
D) the size of the government should be reduced.
E) the economy can do without collateral.
Textbook 
Macroeconomics, Canadian Edition

Macroeconomics, Canadian Edition


Edition: 5th
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karmarkarmar
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