Other things equal, an increase in taxes on businesses will:
A. Increase aggregate supply and decrease aggregate demand, and cause the price level to fall
B. Increase aggregate supply and increase aggregate demand, and cause real GDP to rise
C. Decrease aggregate supply and decrease aggregate demand, and cause real GDP to fall
D. Decrease aggregate supply and increase aggregate demand, and cause the price level to rise
C. Decrease aggregate supply and decrease aggregate demand, and cause real GDP to fall
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Does the Federal Reserve conduct both the nation's monetary policy and its fiscal policy?
What will be an ideal response?
Using the GG-LL framework, analyze the effect of an increase in the size and frequency of sudden shifts in the demand for a country's exports
What will be an ideal response?
When money serves as a standard for comparing values of different things, it is functioning as a
A) store of value. B) hedge against inflation. C) standard of deferred payment. D) unit of accounting.
Briefly explain the similarities and differences of decision making by the market sector and the public sector
What will be an ideal response?