Refer to Figure 21-2. Which of the following is consistent with the graph depicted above?
A) There is a shift from an income tax to a consumption tax.
B) The government runs a budget surplus.
C) New government regulations decrease the profitability of new investment.
D) An expected expansion increases the profitability of new investment.
Figure 21-3
C
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The two nations that have gone furthest with "universal banking" are
A) the United States and the United Kingdom. B) the United Kingdom and Germany. C) Germany and Japan. D) the United States and Japan.
Which of the following models explains why high unemployment has persisted in some European countries for such long periods—periods too long to be the result of fixed money-wage contracts or backward-looking price expectations?
a. Insider outsider models b. Efficiency wage models c. Sticky price models d. IS-LM models