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    Principles of Macroeconomics Study Set 8
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    Exam 21: The Influences of Monetary and Fiscal Policy on Aggregate Demand: How Fiscal Policy Influences Aggregate Demand
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    A Reduction in Personal Income Taxes Increases Aggregate Demand Through
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A Reduction in Personal Income Taxes Increases Aggregate Demand Through

Question 96

Question 96

Multiple Choice

A reduction in personal income taxes increases Aggregate Demand through


A) an increase in investment spending.
B) an increase in national savings.
C) an increase in private savings.
D) an increase in personal consumption.

Correct Answer:

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