Multiple Choice
When drawn against the real interest rate, the output demand curve unambiguously shifts to the right if either or both of the following occur.
A) an increase in current taxes and an increase in future taxes
B) an increase in current taxes and a decrease in future taxes
C) a decrease in current taxes and an increase in future taxes
D) a decrease in current taxes and a decrease in future taxes
E) an increase in current taxes and a reduction in interest rates
Correct Answer:
Verified
Correct Answer:
Verified
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