Multiple Choice
If consumers foresee future taxes completely,a reduction in taxes this year that is accompanied by an offsetting increase in future taxes would cause
A) a rightward shift in the saving curve and a rightward shift in the investment curve.
B) a shift in neither the saving nor the investment curve.
C) a leftward shift in the saving curve, but no shift in the investment curve.
D) no shift in the saving curve, but a rightward shift in the investment curve.
Correct Answer:

Verified
Correct Answer:
Verified
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