The value of the tax multiplier is always positive because an increase in tax increases the marginal propensity to consume

a. True
b. False
Indicate whether the statement is true or false


False

Economics

You might also like to view...

Productive efficiency refers to

A. setting TR = TC. B. maximizing profits by producing where MR = MC. C. cost minimization, where P = minimum ATC. D. production at a level where P = MC.

Economics

Do deficits lead to inflation?

What will be an ideal response?

Economics

A production function describes

a. how a firm maximizes profits. b. how a firm turns inputs into output. c. the minimal cost of producing a given level of output. d. the relationship between cost and output.

Economics

Policies focused on lowering interest rates to allow people to buy homes would be considered

A. demand-side policies. B. fiscal policies. C. supply-side policies. D. demand-side and supply-side policies.

Economics