Use the Following to Answer Questions

question 18

Multiple Choice

Use the following to answer questions:
Figure: Fiscal Policy II
-(Figure: Fiscal Policy II) Look at the figure Fiscal Policy II. Suppose that this economy is in equilibrium at E₁. If there is an increase in taxes, _____ will shift to the _____, causing a(n) _____ in the price level and a(n) _____ in real GDP.

• A)AD_1; left; increase; decrease
• B)AD_1; left; decrease; decrease
• C)AD_2; right; increase; increase
• D)AD_2; right; decrease; increase

Recognize the influence of prepositional phrases on subject-verb agreement.

Differentiate between collective nouns and their agreement with verbs.

Grasp the use of indefinite pronouns in subject-verb agreement.

Distinguish between compound subjects connected by "and" or "or/nor" and their impact on verb agreement.

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Definitions:

Social Security

A government program that provides financial assistance to people with inadequate or no income, particularly the elderly, disabled, and families with dependent children.

Property Tax

A levy on property that the owner is required to pay, typically based on the value of the property.

Government Revenue

The income received by the government from taxes, fees, fines, and other sources, used to fund public services and obligations.

Property Tax

A tax levied by local government units on real estate based on the property's value, used to fund public services such as education, infrastructure, and law enforcement.