If the Economic Growth Rate INCREASES from 1% to 5%,the

question 67

Multiple Choice

If the economic growth rate INCREASES from 1% to 5%,the simple accelerator hypothesis suggests that

• A)investment will continue to rise as output increases.
• B)investment will fall as output increases.
• C)investment will rise since the rate of change in output increases.
• D)None of the above is correct.

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Definitions:

Social Security Tax

A payroll tax paid by employees and employers to fund the Social Security program, which provides retirement, disability, and survivorship benefits.

Time Card

A record of the hours worked by an employee, used to calculate payroll and ensure compliance with labor laws.

Internal Control

Processes and procedures implemented by a company to ensure the integrity of financial and accounting information, promote accountability, and prevent fraud.

Payroll Bank Account

A designated bank account used exclusively for processing payroll transactions and managing salary disbursements.