Author Question: Suppose there is a tax cut. This tax cut would have a direct effect on which of the following? A) ... (Read 57 times)

809779 · **on:** Jun 30, 2018

Suppose there is a tax cut. This tax cut would have a direct effect on which of the following?

A) financial wealth
B) housing wealth
C) human wealth
D) none of the above

Question 2

If government spending and taxes decrease by the same amount,

A) the IS curve does not shift.
B) the IS curve shift leftward.
C) the IS curve shifts rightward.
D) the LM curve shifts downward.