4. The country of Merryville has an unemployment rate that is greater than the natural rate of unemployment.The president of Merryville is receiving advice from an economic adviser who advises the president to decrease personal income taxes. How would such a decrease in taxes affect aggregate demand? Explain.

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Chapter34: The Influence Of Monetary And Fiscal Policy On Aggregate Demand
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4. The country of Merryville has an unemployment rate that is greater than the natural rate of unemployment.The president of Merryville is receiving advice from an economic adviser who advises the president to decrease personal income taxes. How would such a decrease in taxes affect aggregate demand? Explain. 

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