A Decrease in Taxes Would Cause

question 49

Multiple Choice

A decrease in taxes would cause:

• A)The dynamic aggregate demand curve to shift to the left
• B)A movement down and along the existing dynamic aggregate demand curve
• C)A movement up and along the existing dynamic aggregate demand curve
• D)The dynamic aggregate demand curve to shift to the right

---

Definitions:

Negative Reinforcement

A behavioral strategy involving the removal of a stimulus to increase a desired response.

Elimination

The process of removing or excluding specific elements, options, or individuals from consideration or a group.

Social Cognitive Theory

A theory that posits individuals learn by observing others, with personal, behavioral, and environmental factors all interacting to influence learning and behavior.

Instrument Theory

A theoretical framework that suggests behaviors are guided by the expected outcomes or rewards associated with particular actions.