Using the Keynesian model,the effect of a decrease in the effective tax rate on capital would be to cause ________ in the real interest rate and ________ in output in the long run.
A) an increase; no change
B) a decrease; no change
C) an increase; an increase
D) no change; a decrease
Correct Answer:
Verified
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Q46: In the Keynesian model,which curve is vertical?
A)LRAS
B)SRAS
C)AD
D)NS
Q47: In the Keynesian model in the short
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Q49: In the Keynesian model in the short
Q50: In the Keynesian model in the long
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