A decrease in taxes will immediately shift
A. aggregate demand to the left.
B. aggregate demand to the right.
C. aggregate supply to the left.
D. aggregate supply to the right.
Answer: B
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The market labor supply curve is the sum of
a. individual labor supply curves at each wage rate b. the upward-sloping portions of individual labor supply curves c. the downward-sloping portions of individual labor supply curves d. the average of all individual labor supply curves e. individual labor supply curves at each net utility for market work
Q.E.
What will be an ideal response?
Real interest rates are the
A) interest rates quoted in the market. B) interest rates quoted in the market plus the expected inflation rate. C) nominal interest rates plus the inflation rate. D) interest rates quoted in the market minus the inflation rate.
Suppose 10 workers jointly own and farm a piece of land. They all consume the farm's output in equal shares. If one worker decides to shirk and cuts her labor effort by 50 percent,
a. her consumption will decrease by 50 percent. b. her consumption will decrease by greater than 50 percent. c. her consumption will decrease by less than 50 percent. d. her consumption will not change.