Multiple Choice
In the IS-LM model, changes in taxes initially affect planned expenditures through:
A) consumption.
B) investment.
C) government spending.
D) the interest rate.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q71: Use the following to answer questions <br>Exhibit:
Q72: If the money supply increases, then in
Q73: If the demand function for money is
Q74: If money demand does not depend on
Q75: The Pigou effect suggests that falling prices
Q77: An increase in money supply shifts the
Q78: If inflation is bad, why isn't deflation
Q79: If real money balances enter the IS-LM
Q80: If the investment demand function is I
Q81: If the IS curve is given by