According to supply-side fiscal policy, reducing tax rates on wages and profits will:
a. create demand-pull inflation.
b. lower the price level but may trigger a recession.
c. result in stagflation.
d. reduce both unemployment and inflation.
d
Economics
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In the figure above, imposing a tax on the product results in a division in which
A) all of the tax is paid by the buyers. B) all of the tax is paid by the sellers. C) the buyers and sellers pay the same amount. D) neither the buyers nor the sellers pay the tax.
Economics
Since an expensive sports car constitutes a greater portion of a consumer's budget than does laundry soap, the price elasticity of demand for an expensive sports car is _____
a. relatively less elastic b. unit-elastic c. perfectly inelastic d. relatively more elastic e. perfectly elastic
Economics