For any given change in taxes, the multiplier
a. will work indirectly through consumption.
b. effect will occur in two steps.
c. effect will be smaller than for an equivalent dollar change in government spending.
d. All of the above are correct.
d
Economics
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The slope of the planned expenditure line is
A) autonomous consumption. B) the marginal propensity to save. C) autonomous planned spending. D) the marginal propensity to consume.
Economics
From 2004 to 2006, the U.S. budget was ________, private saving was ________ domestic investment, and foreign borrowing was ________
A) in deficit, less than, needed to finance deficit B) balanced, roughly equal to, not needed to finance deficit C) balanced, less than, substantial. D) surplus, greater than, negligible
Economics