In the traditional Keynesian model, what happens to GDP (Y) and consumption (C) when government purchases (G)

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In the traditional Keynesian model, what happens to GDP (Y) and consumption (C) when government purchases (G) rise?

a. Y falls, C falls.

b. Y rises, C rises.

c. Y falls, C rises.

d.Y rises, C falls.

Related Book For answer-question

Principles of Macroeconomics

ISBN: 978-0134078809

12th edition

Authors: Karl E. Case, Ray C. Fair, Sharon E. Oster

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Posted Date: Jan 29, 2024 04:01 AM

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In the traditional Keynesian model, what happens to GDP (Y) and consumption (C) when government purchases (G)

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Principles of Macroeconomics

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