If the government wishes to increase GDP by $1,200b,and the MPC is 0.75,it should:
A) increase taxes by $300b.
B) decrease taxes by $300b.
C) increase taxes by $400b.
D) decrease taxes by $400b.
Correct Answer:
Verified
Q89: Transfer payments:
A) are payments from government accounts
Q98: Payments from government accounts to individuals for
Q102: During a recession, government deficits can grow
Q120: If the MPC is 0.5,then the taxation
Q121: As of 2010,which country in the world
Q122: Which country in the world has a
Q123: A budget surplus is:
A)the amount of money
Q127: Which country in the world has a
Q128: If the MPC is 0.5,and the government
Q129: If the government wishes to increase GDP
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents