Which of the Following Is Likely to Occur Because of a Decrease

question 13

Multiple Choice

Which of the following is likely to occur because of a decrease in marginal tax rates?

• A)An increase in aggregate supply because of an increased incentive to work.
• B)A decrease in aggregate supply because people cash in their investments.
• C)A decrease in aggregate demand because of an increased incentive to work.

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Definitions:

Glutamate

A major excitatory neurotransmitter in the brain, involved in learning, memory, and the regulation of various brain functions.

Norepinephrine

A neurotransmitter involved in arousal, attention, and the fight-or-flight response.

Internal

Pertaining to or occurring within an individual's mind or self, often used in the context of internal vs. external motivation or processes.

Stable

Characterized by consistency, resilience, or lack of significant change over time.