When the government cuts taxes or increases government spending
A) the long-run aggregate supply curve shifts to the left.
B) the short-run aggregate supply curve shifts to the left.
C) the aggregate demand curve shifts to the left.
D) the aggregate demand curve shifts to the right.
Ans: D) the aggregate demand curve shifts to the right
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Looking ahead at how the customer is more likely to react, what price should the shopkeeper charge?
a. High price b. Low price c. Offer the good for free d. A compromised price between the high and the low price
Adam's Apples, a small firm supplying apples in a perfectly competitive market, decides to cut its production in half this year. As a result, the
a. market price will rise b. market price will fall c. market quantity will rise d. market price will not be affected e. total expenditures on apples will rise
The only way that the family can consume more and enjoy a higher standard of living is to:
A. decrease the amount each person produces. B. increase both how many people are in the family, and the amount each one produces. C. increase how many people are in the family. D. increase the amount each person produces.
Explain the effect of Federal tax policy on the cost of health insurance
What will be an ideal response?