9) Which of the following sequence of events follows an increase in net taxes? A) ADĮ = Y = Mdį = r↑= I → ADĮ. C) ADĮ = Y = Mdį = r[ = I† → AD↑. B) AD↑ = Y↑ = Mdį = rl = IĮ = ADĮ. D) AD = Y = Md↑ = r↑= → AD↑.

9) Which of the following sequence of events follows an increase in net taxes? A) ADĮ = Y = Mdį = r↑= I → ADĮ. C) ADĮ = Y = Mdį = r[ = I† → AD↑. B) AD↑ = Y↑ = Mdį = rl = IĮ = ADĮ. D) AD = Y = Md↑ = r↑= → AD↑.

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter30: Government Budgets And Fiscal Policy

Section: Chapter Questions

Problem 21RQ: Have the spending and taxes of the U.S. federal government generally had an upward or a downward...

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Question

9) Which of the following sequence of events follows an increase in net taxes?
A) ADĮ = Y = Mdį = r↑= I= ADĮ.
C) ADĮ = Y = Mdį = r[ = K = AD↑.
B) AD↑ = Y↑ = Mdį= rl = IĮ = ADĮ.
D) AD = Y =→ Md↑ = ↑= → AD↑.

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