The diagram shows a number of expenditure functions. The original expenditure function is shown by E.
The government announces an increase in government expenditure on goods and services and increases the standard rate of income tax.
Which line shows the new expenditure function resulting from these changes?
1 )
${E_1}$
2 )
${E_2}$
${E_3}$
4 )
${E_4}$
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