Question
How does a change in the personal tax rate affect the multiplier? How does a change in the size of the multiplier affect the economy?
How does a change in the personal tax rate affect the multiplier? How does a change in the size of the multiplier affect the economy?
Anincrease in the personal tax rate ....... the size of the multiplier, which means that any given change in autonomous spending has a relatively .....
effect on real GDP.
1. increases/decreases
2. smaller/ larger
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Managerial Economics and Organizational Architecture
Authors: James Brickley, Clifford W. Smith Jr., Jerold Zimmerman
6th edition
73523143, 73523149, 978-0073523149
