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    Exam 27: Managing Aggregate Demand: Fiscal Policy
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    Figure 11-3 in Figure 11-3, Which Line Represents the Change in the Change
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Figure 11-3 in Figure 11-3, Which Line Represents the Change in the Change

Question 206

Question 206

Multiple Choice

Figure 11-3
Figure 11-3   In Figure 11-3, which line represents the change in the consumption schedule caused by a cut in fixed taxes? A)  C<sub>1</sub> in graph (a)  B)  C<sub>2</sub> in graph (a)  C)  C<sub>1</sub> in graph (b)  D)  C<sub>2</sub> in graph (b)
In Figure 11-3, which line represents the change in the consumption schedule caused by a cut in fixed taxes?


A) C1 in graph (a)
B) C2 in graph (a)
C) C1 in graph (b)
D) C2 in graph (b)

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