Suppose that Congress has decided that it is desirable to increase aggregate supply by giving a tax

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Suppose that Congress has decided that it is desirable to increase aggregate supply by giving a tax break to people and firms who invest to raise the capacity of the economy. What impact would this have on the distribution of income? Is it likely to be popular? Who would this action benefit in the short run? Who would it benefit in the long-run?

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Introductory Economics

ISBN: 386524

1st Edition

Authors: Michael Veseth

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