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If There Is a Decrease in Taxes on Business Firms

question 43

Multiple Choice

If there is a decrease in taxes on business firms in a small open economy,it causes the current account to ________ and saving to ________.


Definitions:

Commercial Purposes

Pertains to activities or endeavors undertaken with the intention of generating profit or financial gain.

Heisenberg Uncertainty Principle

A fundamental theory in quantum mechanics that states it is impossible to simultaneously know both the exact position and exact velocity of a particle.

Reactivity

involves changes in behavior or results when individuals alter their performance or responses, knowing they are being observed or studied.

Elton Mayo

A psychologist and organizational theorist best known for his work in industrial research and the human relations movement.

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