A change in taxes primarily affects aggregate demand by altering:
A) exports and net exports
B) investment by an equal and opposite amount.
C) disposable income and consumption spending.
D) government purchases by an equal amount.
E) imports and net exports
Correct Answer:
Verified
Q68: Which of the following best describes the
Q69: Which of the following is true of
Q70: A substantial increase in marginal tax rates
Q71: Economists agree that the multiplier effect on
Q72: A cut in marginal tax rates, all
Q74: Which of the following is true of
Q75: Each additional round of the multiplier process
Q76: Other things equal, the multiplier will be
Q77: The primary benefit of automatic stabilizers is
Q78: A supply-side economist would be most likely
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