Using the Simple Keynesian Model,consider the Case Where Taxes Are

question 39

Multiple Choice

Using the simple Keynesian model,consider the case where taxes are lump-sum.Compared to the model without taxes,the investment multiplier in this model will

• A)not change.
• B)be larger.
• C)be smaller.
• D)be equal to 1.

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Definitions:

Biogeochemical Cycles

The natural processes that recycle nutrients and elements among the biosphere, atmosphere, lithosphere, and hydrosphere.

Hydrologic Cycle

The continuous movement of water on, above, and below the surface of the Earth, including processes such as evaporation, precipitation, and infiltration.

Carbohydrate Cycle

The series of processes by which carbohydrates are synthesized, broken down, and reused in the biosphere.

Protein Cycle

The dynamic process of protein synthesis, utilization, degradation, and recycling within living organisms.