Multiple Choice
If wealthy U.S.consumers save most of their tax cut, this means that, compared to government spending changes,
A) tax changes would have a higher multiplier effect.
B) tax changes would have a weaker multiplier effect.
C) government spending would have a weaker multiplier effect.
D) U.S.consumers would spend all of their tax cut.
Correct Answer:
Verified
Correct Answer:
Verified
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