Question
8. if taxes are increased, the ad curve O shifts rightward and aggregate demand decreases O shifts leftward and aggregate demand decreases O does
8. if taxes are increased, the ad curve O shifts rightward and aggregate demand decreases O shifts leftward and aggregate demand decreases O does not shift but there is a movement down along the curve O is not affected because a change in taxes is a nominal change not real change.
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Macroeconomics Principles And Policy
Authors: William J. Baumol, Alan S. Blinder
11th Edition
0324586213, 978-0324586213
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