5)Suppose Congress passes a bill on personal income tax decrease. Which component ofAEwillbe5) affected and how? What
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Question:
5)Suppose Congress passes a bill on personal income tax decrease. Which component ofAEwillbe5) affected and how? What will be the effect on aggregate expenditure,AE, and short-runequilibrium real GDP,Y? (Hint: Draw the "Keynesian Cross" diagram to answer this question
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