« previous next »

Author Question: Tax cuts on business income increase aggregate demand by increasing A) wage rates. B) government ... (Read 50 times)

kellyjaisingh

  • Hero Member
  • *****
  • Posts: 540
on: Jun 29, 2018
Tax cuts on business income increase aggregate demand by increasing
 
  A) wage rates. B) government spending.
  C) consumption spending. D) business investment spending.

Question 2

Refer to Figure 23-3. Suppose that government spending increases, shifting up the aggregate expenditure line. GDP increases from GDP1 to GDP2, and this amount is 200 billion. If the MPC is 0.
 
  8, then what is the distance between N and L or by how much did government spending change?
  A) 16 billion B) 40 billion C) 200 billion D) 1,000 billion


mirabriestensky

  • Sr. Member
  • ****
  • Posts: 325
Reply #1 on: Jun 29, 2018
Answer to Question 1

D

Answer to Question 2

B


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

A seasonal flu vaccine is the best way to reduce the chances you will get seasonal influenza and spread it to others.

Did you know?

According to the CDC, approximately 31.7% of the U.S. population has high low-density lipoprotein (LDL) or "bad cholesterol" levels.

Did you know?

The oldest recorded age was 122. Madame Jeanne Calment was born in France in 1875 and died in 1997. She was a vegetarian and loved olive oil, port wine, and chocolate.

Did you know?

In 1844, Charles Goodyear obtained the first patent for a rubber condom.

Did you know?

A good example of polar molecules can be understood when trying to make a cake. If water and oil are required, they will not mix together. If you put them into a measuring cup, the oil will rise to the top while the water remains on the bottom.

Metabolic rates of animals that differ in size. Metabolic rates of animals that differ in size.
Erythroblastosis fetalis. (a) The condition occurs with an RH+ father and RH– mother. (b) First preg Erythroblastosis fetalis. (a) The condition occurs with an RH+ father and RH– mother. (b) First preg
The Increasing Cost of Health Care, 1960–2010 The Increasing Cost of Health Care, 1960–2010
Abortion Rates by State, 2008 Abortion Rates by State, 2008
The age-related increase in spirituality is different for two cohorts born seven years apart. The ... The age-related increase in spirituality is different for two cohorts born seven years apart. The ...
Global Stratification: Income of the World's Nations Global Stratification: Income of the World's Nations
Video: Exercise and cardiac output

For a complete list of videos, visit our video library