The IS Curve Shifts to the Right Where There Is

question 60

Multiple Choice

The IS curve shifts to the right where there is

• A)an increase in current taxes.
• B)a reduction in expected future taxes.
• C)a reduction in expected future output.
• D)all of the above
• E) none of the above

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Definitions:

Investment Center

A business unit or division that is responsible for its own revenues, expenses, and investments in assets.

Return On Investment

A metric for assessing how well an investment is doing by comparing the net profit to the investment's initial cost.

Direct Expenses

Expenses directly linked to the manufacturing of particular products or services.

Sales

Sales involve the exchange of a product or service for money or its equivalent, constituting a fundamental activity of commercial enterprises to generate revenue.