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Refer to Figure 16.1

Question 103

Multiple Choice

Refer to Figure 16.1. Refer to Figure 16.1. -Refer to Figure 16.1.If the economy is initially in equilibrium at P<sub>1</sub> and Q<sub>2</sub>,the appropriate policy to move the economy to an equilibrium at P<sub>2</sub> and Q<sub>3</sub> would be to: A) Reduce immigration barriers. B) Increase the marginal tax rate. C) Increase government spending. D) Increase interest rates.
-Refer to Figure 16.1.If the economy is initially in equilibrium at P1 and Q2,the appropriate policy to move the economy to an equilibrium at P2 and Q3 would be to:


A) Reduce immigration barriers.
B) Increase the marginal tax rate.
C) Increase government spending.
D) Increase interest rates.

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