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) a decrease in current taxes and a decrease in future taxes
B) an increase in current taxes and a reduction in interest rates
C) an increase in current taxes and an increase in future taxes
D) a decrease in current taxes and an increase in future taxes
E) an increase in current taxes and a decrease in future taxes
Correct Answer:
Verified
Correct Answer:
Verified
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