A decrease in transfer payments works like a tax hike because it reduces the level of disposable income.
Answer the following statement true (T) or false (F)
True
A cut in transfer payments works like a tax hike, reducing the disposable income of transfer recipients.
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When housing prices decrease, household wealth ________, and consumption ________.
A. increases; increases B. decreases; decreases C. increases; decreases D. decreases; increases
Under a flexible exchange rate system, a decrease in the value of a domestic currency in terms of foreign currencies is referred to as
A) an appreciation. B) a depreciation. C) a devaluation. D) a revaluation.
Within the U.S. population, teenagers (ages 16-19) have similar rates of unemployment to adults of prime working age (ages 25-54), regardless of race or gender
a. True b. False Indicate whether the statement is true or false
When real Gross Domestic Product (GDP) falls, which of the following will automatically occur?
A) an increase in income tax revenues
B) a decrease in all tax rates
C) a decrease in unemployment compensation expenditures
D) a decrease in income tax revenues