Multiple Choice
Suppose there is a tax cut and the central bank controls the money supply. Which of the following is a complete list of the variables that must increase as a result of the tax cut?
A) Consumption and output.
B) Consumption.
C) Consumption, output and investment.
D) Consumption and investment.
E) Consumption, output and the interest rate.
Correct Answer:

Verified
Correct Answer:
Verified
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