If the price of inputs rises and personal income taxes rise:
a. Aggregate demand falls, and aggregate supply rises.
b. Aggregate demand and aggregate supply rise.
c. Aggregate demand and aggregate supply fall.
d. Neither aggregate demand nor aggregate supply change.
e. None of the above.
.C
Economics
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Unlike consumption, which is fairly stable over time, investment is subject to erratic fluctuations
Indicate whether the statement is true or false
Economics
Suppose a consumer consumes two goods, X and Y. The relative price of the two goods equals the
a. marginal rate of substitution. b. rate at which the consumer will give up X to gain Y while maintaining the same level of utility. c. slope of the budget constraint. d. All of the above are correct.
Economics