This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: How do changes in income tax policies affect aggregate demand? A) Higher taxes increase corporate ... (Read 80 times)

bobypop

  • Hero Member
  • *****
  • Posts: 539
on: Jun 29, 2018
How do changes in income tax policies affect aggregate demand?
 
  A) Higher taxes increase corporate investment and aggregate demand.
  B) Higher taxes reduce disposable income, consumption, and aggregate demand.
  C) Higher taxes increase aggregate supply and thus increase aggregate demand as well.
  D) Higher taxes increase disposable income, consumption, and aggregate demand.

Question 2

Into which category of aggregate expenditure would each of the following transactions fall?
 
  a. Sandra MacMillian purchases a new Ford Focus.
  b. The city of Richardson buys 5 new garbage trucks.
  c. Adrian Garcia buys a newly constructed townhome.
  d. A consumer in Latvia orders an iPhone from Apple.
  e. Ford Motor Company buys 300 new iPhones from Apple.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Leostella20

  • Sr. Member
  • ****
  • Posts: 337
Reply #1 on: Jun 29, 2018
Answer to Question 1

B

Answer to Question 2

a. Consumption
b. Government purchases
c. Planned investment
d. Net exports
e. Planned investment


bobypop

  • Member
  • Posts: 539
Reply 2 on: Jun 29, 2018
Great answer, keep it coming :)

rachel

  • Member
  • Posts: 323
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

Vital signs (blood pressure, temperature, pulse rate, respiration rate) should be taken before any drug administration. Patients should be informed not to use tobacco or caffeine at least 30 minutes before their appointment.

Did you know?

An identified risk factor for osteoporosis is the intake of excessive amounts of vitamin A. Dietary intake of approximately double the recommended daily amount of vitamin A, by women, has been shown to reduce bone mineral density and increase the chances for hip fractures compared with women who consumed the recommended daily amount (or less) of vitamin A.

Did you know?

Asthma attacks and symptoms usually get started by specific triggers (such as viruses, allergies, gases, and air particles). You should talk to your doctor about these triggers and find ways to avoid or get rid of them.

Did you know?

Immunoglobulin injections may give short-term protection against, or reduce severity of certain diseases. They help people who have an inherited problem making their own antibodies, or those who are having certain types of cancer treatments.

Did you know?

About one in five American adults and teenagers have had a genital herpes infection—and most of them don't know it. People with genital herpes have at least twice the risk of becoming infected with HIV if exposed to it than those people who do not have genital herpes.

Two mechanisms that affect cell shape and movement. Two mechanisms that affect cell shape and movement.
Potency and efficacy: (a) drug A has a higher potency than drug B; (b) drug A has a higher efficacy Potency and efficacy: (a) drug A has a higher potency than drug B; (b) drug A has a higher efficacy
Atmospheric pressure decreases with increase in altitude. Atmospheric pressure decreases with increase in altitude.
How to use implicit differentiation with higher order derivatives How to use implicit differentiation with higher order derivatives
Regional Variation in Income and Access to the Sea Regional Variation in Income and Access to the Sea
Variable and absorption costing, explaining operating-income differences. Variable and absorption costing, explaining operating-income differences.
Video: Apicomplexan life cycle Animation

For a complete list of videos, visit our video library