If a change in the tax laws leads to a $100 billion decrease in tax revenue, then aggregate demand
A) increases by less than $100 billion.
B) increases by more than $100 billion.
C) increases by $100 billion.
D) decreases by $100 billion.
E) decreases by more than $100 billion.
Correct Answer:
Verified
Q107: Q108: If government expenditure on goods and services Q109: Automatic stabilizers include Q110: To eliminate an inflationary gap using fiscal Q111: When the government's outlays equal its tax Q113: Induced taxes are defined as taxes Q114: If the federal government has a budget Q115: Automatic stabilizers Q116: An economic expansion leads to--------------------needs-tested spending and-------------------- Q117: In 2010, the U.S. government had tax
A)changes in the federal funds
A)that are
A)have no effect on the magnitude
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