If the tax multiplier is -9 and taxes are reduced by $100 billion, output
A. increases by $100 billion.
B. increases by $900 billion.
C. falls by $100 billion.
D. falls by $900 billion.
Answer: B
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In the late 2000s, which source of funds for corporations grew the most?
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If the cost of producing a good rises for sellers, then how will this affect the market equilibrium for that good?
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Refer to Figure 4.6, which shows David's and Celeste's individual supply curves for flower arrangements per week. Assuming David and Celeste are the only producers in the market, if the market quantity supplied is 50, the price must be
A) $0. B) $10. C) between $10 and $20. D) $30.