If the Government Holds Spending Constant While Decreasing Taxes,we Expect

question 63

Multiple Choice

If the government holds spending constant while decreasing taxes,we expect

• A)an increase in investment spending by businesses too,as they anticipate future economic growth.
• B)a decrease in saving as consumers follow suit and also increase borrowing.
• C)investment spending by businesses to increase.
• D)interest rates to rise.

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Definitions:

Comprehensive Health-care Reform

Extensive changes to a country's health care system aiming at increasing access to health care, improving the quality of care, and controlling or reducing costs.

Unfinished Agenda

A term that refers to critical tasks, goals, or policies that have been identified but not yet completed or fully addressed.

Bioethics

The study of controversial moral or ethical issues related to scientific and medical advancements.

Medical Advancements

Progress or developments in medical science that improve health care, treatment, and diagnostic capabilities.