3.22. Which of the following statements is correct?

3.22. Which of the following statements is correct?

[1] If government wishes to decrease the equilibrium level of income, it can increase G and leave t unchanged.
[2] If government wishes to increase the equilibrium level of income, it can increase G and decrease t.
[3] If government wishes to reduce the equilibrium level of income, it can decrease t.
[4] If government wishes to reduce the equilibrium level of income, it can increase G.
[5] If government wishes to reduce the equilibrium level of income, it can decrease G or
decrease t, but it cannot do both. 

 
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