Which of the Following Correctly Describes the Effects of a Decrease

question 108

Multiple Choice

Which of the following correctly describes the effects of a decrease in net taxes?

• A)Disposable income increases,consumption decreases,and saving decreases.
• B)Disposable income increases,consumption increases,and saving increases.
• C)Disposable income decreases,consumption increases,and saving increases.
• D)Disposable income decreases,consumption decreases,and saving decreases.
• E)There is no effect on either disposable income,consumption,or saving.

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Definitions:

Seasonal Indices

numerical values used to adjust data for seasonal effects, enabling comparison across different time periods by accounting for regular patterns of change.

Raw Data

Unprocessed and unanalyzed data collected directly from a source, without any manipulation or treatment.

Regular Time Intervals

Fixed or consistent periods between events, measurements, or observations, facilitating comparison or synchronization.

Trend Projection Equation

A mathematical formula used to forecast future values based on historic data trends, often applied in time series analysis.