The fiscal policy action most likely to increase consumer spending would be _____.
a. increasing the individual income tax rate
b. decreasing the individual income tax rate
c. increasing the business tax rate
d. decreasing the business tax rate
b. decreasing the individual income tax rate
You might also like to view...
When Mother Teresa used her $190,000 Nobel Peace Prize to construct a leprosarium, she was
A) behaving irrationally. B) behaving selfishly. C) not behaving in a truly voluntary way. D) pursuing her self interest. E) violating the fundamental laws of economics.
Exemptions are more desirable than deductions for a person in the 36% tax bracket.
A. True B. False C. Uncertain
A country sells more goods and services to foreign countries than it buys from them. It has
a. a trade surplus and positive net exports. b. a trade surplus and negative net exports. c. a trade deficit and positive net exports. d. a trade deficit and negative net exports.
According to liquidity preference theory, a decrease in the price level causes the interest rate to
a. increase, which increases the quantity of goods and services demanded. b. increase, which decreases the quantity of goods and services demanded. c. decrease, which increases the quantity of goods and services demanded. d. decrease, which decreases the quantity of goods and services demanded.