According to the Ricardian equivalence theorem, people increase savings when the government increases deficits because they recognize the link between government deficits and higher future taxes.
Answer the following statement true (T) or false (F)
True
According to the Ricardian equivalence theorem, people increase savings when the government increases deficits because they recognize that those deficits must be paid in the future with higher taxes.
Economics
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Which of the following is correct?
a. Nominal GDP is always less than real GDP. b. Nominal GDP is always greater than real GDP. c. Nominal GDP equals real GDP in the base year. d. Nominal GDP equals real GDP in all years but the base year.
Economics
Explain the difference between poverty in the United States and poverty in the rest of the world.
What will be an ideal response?
Economics