If personal taxes were decreased and resource productivity increased simultaneously, the equilibrium:
A. output would necessarily rise.
B. output would necessarily fall.
C. price level would necessarily fall.
D. price level would necessarily rise.
A. output would necessarily rise.
Economics
You might also like to view...
In spite of the stated goal of discouraging behavior, if a sumptuary tax is applied on _____, behavior will not change very much
a. a good with elastic demand b. a good with inelastic demand c. income d. wealth
Economics
Describe the market process that should occur if the price of a product is below its equilibrium price; now describe what would occur if the price is above its equilibrium price, assuming no market interference
What will be an ideal response?
Economics