Question
In the table below we see the percent change in output associated with a decrease in government spending of 1%. Belgium -1.72% change Portugal -1.5%
In the table below we see the percent change in output associated with a decrease in government spending of 1%.
Belgium -1.72% change Portugal -1.5% change
In which country would a one percent decrease in taxes have a greater increase in output, assuming an IS curve with a tax function given by
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Microeconomics A Contemporary Introduction
Authors: William A. McEachern
9th edition
978-0538453714, 538453710, 978-1111415921
