Which of the Following Will Occur as a Result of a Tax

question 79

Multiple Choice

Which of the following will occur as a result of a tax increase?

• A)private saving increases
• B)investment increases
• C)the trade balance improves
• D)the trade balance worsens
• E) the budget deficit increases

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Definitions:

Company Sizes

A categorization or measurement of a business based on its scale, which can be determined by various metrics such as revenue, assets, or number of employees.

Stockholders' Equity

The residual interest in the assets of an entity that remains after deducting its liabilities; equity represents ownership interest in a company.

Earnings Per Share

This is a measure of a company's profitability, calculated by dividing the company's net income by the number of outstanding shares of its common stock.

Common Stock

Equity securities that represent ownership interests in a corporation, entitling holders to vote on corporate matters and receive dividends.