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Suppose Country B is similar to Country A in the amount of government expenditures and the level of real GDP at full employment. But instead
Suppose Country B is similar to Country A in the amount of government expenditures and the level of real GDP at full employment. But instead of a proportional tax system,Country Bhas a lump-sum (regressive) tax system that balances the budget at all levels of GDP.
Graph the tax revenues for this country.
Use the toolprovided 'Tax revenues' to illustrate the country's tax revenues. Plotthe first point of the line where real GDP is $20 billion and the second point where real GDP is $80 billion. Plot only the endpoints of the line
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