Multiple Choice
The main idea behind supply-side tax cuts is that
A) tax cuts increase spending, which increases aggregate supply.
B) some tax cuts can increase aggregate supply.
C) people like lower taxes and will spend more if they get them.
D) it is easier to shift aggregate supply than aggregate demand.
Correct Answer:
Verified
Correct Answer:
Verified
Q37: Which of the following is a correct
Q38: If the demand-side effects of supply-side tax
Q39: How does an increase in government transfer
Q40: Supply-siders ignore the effects of tax cuts
Q41: In an effort to balance the federal
Q43: A major complication with fiscal policy to
Q44: If the federal government increases the amount
Q45: Most tax payments increase as GDP increases.
Q46: Capital gains tax cuts inevitably benefit<br>A)low-income workers.<br>B)retired
Q47: A "conservative" would most likely argue in