Answered: 4. When national income increases, then…

4. When national income increases, then : Income tax revenues should decrease Interest rate should decrease Budget deficit should automatically decrease Business tax revenues should decrease

MACROECONOMICS

14th Edition

ISBN:9781337794985

Author:Baumol

Publisher:Baumol

Chapter11: Managing Aggregate Demand: Fiscal Policy

Section: Chapter Questions

Problem 1DQ

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Question

4. When national income increases, then : *
Income tax revenues should decrease
Interest rate should decrease
Budget deficit should automatically
decrease
Business tax revenues should decrease

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