The supply-side effects of a reduction in taxes are the result of
a. increases in the disposable income of households accompanying reductions in tax rates.
b. the stimulus effects of increases in government expenditures.
c. increased attractiveness of productive activity relative to leisure and tax avoidance.
d. reductions in interest rates that generally accompany expansionary fiscal policy.
C
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The table above gives the demand schedule for a good. What is the total revenue at point A? At point B? At point C? At point D? At point E?
What will be an ideal response?
When there is an increase in the wages the banking industry offers accountants, what happens to the supply of accountants available to other industries?
A) The supply to other industries increases. B) The supply to other industries falls. C) The supply curve for other industries shifts to the right. D) no change