Starting from Long-Run Equilibrium, a Large Tax Cut Will Result

question 86

Multiple Choice

Starting from long-run equilibrium, a large tax cut will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.

• A)expansionary; higher; potential
• B)expansionary; higher; higher
• C)recessionary; lower; lower
• D)recessionary; higher; potential

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Definitions:

Interbreeding Populations

Groups of organisms of the same species living in the same geographic area that interbreed or exchange genetic material.

Biological Species Concept

A definition of species based on the ability of individuals to interbreed and produce viable, fertile offspring.

Allopatric Populations

Populations of the same species that are geographically isolated from each other, leading to potential evolutionary divergence.

Behavioral Preference

Involves the selection of specific behaviors over others by an individual, often influenced by genetic, environmental, and psychological factors.