In our simple macro model with government,which statement is correct regarding the following equation: T = (0.2)Y?
A)Total tax revenues are equal to 20% of disposable income.
B)Total tax revenues are equal to 20% of real GDP.
C)Net tax revenues are equal to 20% of disposable income.
D)If national income increases by $1.00,then net tax revenue increases by $0.20.
E)If total tax revenue increases by $0.20,then national income increases by $1.00.

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The Answer of In our simple macro model with government,which statement is correct regarding the following equation: T = (0.2)Y?
A)Total tax revenues are equal to 20% of disposable income.
B)Total tax revenues are equal to 20% of real GDP.
C)Net tax revenues are equal to 20% of disposable income.
D)If national income increases by $1.00,then net tax revenue increases by $0.20.
E)If total tax revenue increases by $0.20,then national income increases by $1.00.

In Our Simple Macro Model with Government,which Statement Is Correct