Supply-side economics stresses that
A) budget deficits will stimulate demand, output, and employment.
B) budget deficits will lead to higher interest rates, which will weaken their expansionary impact.
C) an increase in government expenditures financed by higher tax rates will cause real income to rise.
D) changes in marginal tax rates exert important effects on real output and employment.
Correct Answer:
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Q51: Supply-side economics stresses that
A) aggregate demand is
Q52: If decreased government borrowing drives down real
Q53: If heavy federal borrowing pushes up real
Q54: Raising taxes as an element of discretionary
Q55: In a world where capital moves rapidly
Q57: The crowding-out effect refers to the possibility
Q58: If a budget surplus leads to a
Q59: If the crowding-out effect is strong, how
Q60: Which of the following attributes of the
Q61: Both Keynesians and non-Keynesians now recognize
A) the
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