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Author Question: If business leaders expect the new Congress to lower the corporate profits tax, most likely this ... (Read 73 times)

RYAN BANYAN

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on: Apr 19, 2019

Question 1

If future benefits are underestimated by a firm


◦ the firm will invest too much in capital.
◦ the firm will use only retained earnings to invest in capital.
◦ the firm will invest too little in capital.
◦ the firm will only sell bonds to invest in capital.

Question 2

If business leaders expect the new Congress to lower the corporate profits tax, most likely this will cause business firms, 
ceteris paribus, to


◦ plan to decrease investment in the future to compensate for the lower tax rate.
◦ decrease investment because they would expect lower benefits from investment.
◦ not change their investment plans because lower corporate profit taxes will not change the demand for their product.
◦ increase investment because the lower corporate profits tax will increase the return on any investment.
Principles of Economics ¦ Case, Fair, Oster ¦ 12th Edition
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Marked as best answer by RYAN BANYAN on Apr 19, 2019

Dinolord

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Reply #1 on: Apr 19, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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RYAN BANYAN

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Reply #2 on: Apr 19, 2019
TY


Dinolord

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Reply #3 on: Apr 19, 2019
You're welcome


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