Which Component of GDP Will Be Affected If the Government

question 38

Multiple Choice

Which component of GDP will be affected if the government decreases the income tax rate?

• A) Consumption
• B) Net exports
• C) Government spending
• D) A change to the income tax rate will not affect any of these components.

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Definitions:

Social Structure

The pattern of social relationships and social institutions that make up society.

Chicago School

A school of thought in sociology associated with the University of Chicago, known for its influence on urban sociology, social ecology, and symbolic interactionism.

Macrosociology

Macrosociology is the analysis of large-scale social systems and processes, such as economies and societies, rather than individuals or small groups.

Manifest Functions

The recognized and intended consequences of any social pattern, which contribute to its operation.