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    Macroeconomics Study Set 43
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    Exam 13: Part B: Fiscal Policy, Deficits, Surpluses, and Debt
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    Refer to the Above Data
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Refer to the Above Data

Question 119

Question 119

Multiple Choice

  Refer to the above data.The 10 percent proportional tax on income would: A) reduce the MPC from .6 to .54. B) not affect the size of the MPC. C) reduce the MPC from .6 to .5. D) increase the MPC from .6 to .64. Refer to the above data.The 10 percent proportional tax on income would:


A) reduce the MPC from .6 to .54.
B) not affect the size of the MPC.
C) reduce the MPC from .6 to .5.
D) increase the MPC from .6 to .64.

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