Which of the following is true?
A) When income tax rates fall, it is possible for tax revenues to rise.
B) When income tax rates fall, it is possible for tax revenues to fall.
C) All economists agree that a monetary rule is preferred to discretionary Fed policy.
D) All economists agree that discretionary Fed policy is preferred to a monetary rule.
E) a and b
E
You might also like to view...
Assume an economy produces only hamburgers and hotdogs and the base year is 2005. Quantity producedPrices 2005200620052006Hamburgers2,0003,0002$3Hotdogs3,0004,0001$1.50Given the data in the table above, what is the value of real GDP in 2006?
A. $ 7,000 B. $ 5,000 C. $10,000 D. $10,500
The direct exchange of goods and services for other goods and services without the use of money is
A) barter. B) financial intermediaries. C) a store of value. D) a standard of deferred payment.
In the DMP model
A) the market wage is equal to the marginal product of labor. B) the market wage is equal to the marginal rate of substitution of leisure for consumption. C) the wage is equal to the marginal rate of transformation. D) the wage is determined by bargaining between the firm and the worker.
What is the equation of exchange? What are the variables, which are in it, and how do they relate to each other?