If the government decreases the income tax rate, then:

A. GDP will decrease.
B. aggregate demand will shift left.
C. aggregate demand will shift right.
D. aggregate supply curve with shift to the right.


C. aggregate demand will shift right.

Economics

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Trade results from

A) comparative advantage. B) diminishing returns. C) self-sufficiency. D) absolute advantage.

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What replaced the Bretton Woods system?

a. the gold standard b. a pooled currency system c. a free float system d. a managed float system e. fixed exchange rates

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When firms exit a monopolistically competitive market: a. product variety diminishes

b. prices fall. c. profits decrease (losses increase). d. the demand curves of established firms shift to the right.

Economics

The following is NOT an example of a potential monitoring solution to moral hazard

a. blocking social network sites on company computers
b. rejecting a job candidate that fails to show up at the allotted interview time
c. GPS tracking devices in repair trucks
d. listening in on call center conversations

Economics