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Assuming a Long-Run Aggregate Supply Curve, a Decrease in Taxes

question 126

Multiple Choice

Assuming a long-run aggregate supply curve, a decrease in taxes results in ________ in output and ________ in price level.


Definitions:

Mahatma Gandhi

An Indian lawyer, anti-colonial nationalist, and political ethicist who led the successful campaign for India's independence from British Rule, and in doing so, employed non-violent resistance as a pivotal political tool.

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The treaty that ended World War I in 1919, imposing heavy reparations and territorial losses on Germany, contributing to the rise of resentment and World War II.

Great War

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