The IS Curve Will Shift to the Right If

question 30

Multiple Choice

The IS curve will shift to the right if:

• A)the government deficit decreases.
• B)consumer confidence decreases.
• C)the MPC decreases.
• D)taxes decrease.
• E)the money supply increases.

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Definitions:

Annual Salary

The total amount of monetary compensation a person earns from their employer in a year before taxes and other deductions.

Starting Bonus

A one-time payment made to an employee as an incentive at the beginning of their employment period.

Rate of Return

The percentage of profit or loss on an investment over a specified period.

Annuity

A financial instrument that provides a consistent series of payments to a person, mainly utilized as a source of income for those in retirement.