An Increase in Taxes I

question 13

Multiple Choice

An increase in taxes I. violates the Taylor rule.
II) decreases real GDP.
III) forces the Fed to change its instruments.

• A) I only
• B) II only
• C) I and III
• D) I and II

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Definitions:

Natality

The rate at which individuals produce offspring; the average per capita birth rate.

Offspring

The product of reproduction, a new organism produced by one or more parents.

Population Size

The number of individuals in a species or specific group of living organisms inhabiting a particular geographic area.

Increase Or Decrease

A phrase referring to the action of becoming larger or smaller in size, amount, intensity, or degree.