The Level of Crowding Out Associated with a Tax Cut

question 298

True/False

The level of crowding out associated with a tax cut will be smaller if the tax change has a supply-side effect than it will be if it only has a demand-side effect.

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Definitions:

Value-stream Map

A visual tool used in lean manufacturing to analyze and design the flow of materials and information required to bring a product to a customer.

Inventory Quantities

The amounts of each item or resource held in stock by a business or organization.

Service Blueprint

A detailed map or diagram that displays all activities and touchpoints involved in delivering a service, highlighting customer interactions and backend processes.