Interest rates fall and investment falls. Which of the following could explain these changes?
a. The government goes from a surplus to a deficit.
b. The government repeals an investment tax credit.
c. The government replaces a consumption tax with an income tax.
d. None of the above is correct.
b
Economics
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An open economy refers to an economy with
A) no trade barriers. B) unrestricted immigration. C) no government intervention. D) international trade.
Economics
An increase in aggregate demand is shown by a
A) rightward shift of the AD curve. B) movement upward along the AD curve. C) movement downward along the AD curve. D) leftward shift of the AD curve.
Economics