The effects on the economy of a prolonged decrease in investment are ________ if ________ occurs
A) more pronounced; consumers adjust permanent income downwards
B) less pronounced; consumers do not adjust permanent income upwards
C) more pronounced; consumers adjust permanent income upwards
D) less pronounced; consumers adjust permanent income downwards
A
You might also like to view...
Social insurance taxes are paid by wages and investment income
Indicate whether the statement is true or false
As a result of U.S. tariffs imposed on wool from New Zealand, the quantity of this wool that is imported has
A) not changed. B) increased a lot. C) decreased. D) increased a little. E) changed but whether it has increased or decreased is ambiguous.
The _____ demand for money is most sensitive to interest rate changes.
A. transactions B. precautionary C. speculative
For all employee earnings subject to Social Security taxes, what is the current Social Security tax rate for employees?
A. 6.2% B. 0.8% C. 4.2% D. 2.9%