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Using the ZZ / Y and NX Graphs,illustrate Graphically and Explain

question 39

Essay

Using the ZZ / Y and NX graphs,illustrate graphically and explain what effect a reduction in taxes will have on output,exports,imports,and net exports.Clearly label all curves and clearly label the initial and final equilibria.


Definitions:

Cumulative Voting

Procedure where a shareholder may cast all votes for one member of the board of directors.

Board Of Directors

A group of individuals elected by shareholders to oversee the management and make major decisions for a corporation.

Shares Of Stock

Units of ownership interest in a corporation that give the owner a share in the company's profits and voting rights.

Market Rate

The prevailing interest rate available in the marketplace for similar financial instruments or loans.

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