There Are Two Kinds of Changes in Net Taxes: First,net

question 40

Multiple Choice

There are two kinds of changes in net taxes: First,net taxes can change if the government changes its tax or transfer policies.Second,net taxes change automatically as income rises and falls,without any change in policy.The _________ kind of change sets off the multiplier process,while the _________ kind of change occurs during the multiplier process.

• A) first;first.
• B) first;second.
• C) second;first.
• D) second;second.
• E) None of the above.

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Definitions:

Input Prices

The cost associated with the factors used in production, such as labor, materials, and capital.

Number of Sellers

Refers to the total count of distinct sellers or firms active in a given market, affecting the market's competition level.

Suppliers' Expectations

The beliefs or forecasts that producers have regarding future prices, demand, or supply conditions.

Advancement in Technology

The process of developing and applying new tools, machines, materials, and processes to improve products and services and solve problems.