If a Reform of the Tax Laws Encourages Greater Saving

question 70

Multiple Choice

If a reform of the tax laws encourages greater saving, the result would be

• A) higher interest rates and greater investment.
• B) higher interest rates and less investment.
• C) lower interest rates and greater investment.
• D) lower interest rate and less investment.

---

Definitions:

Positive Reinforcement

The strategy of encouraging a behavior by rewarding it each time it occurs to increase its frequency.

Resistance

The act of opposing or striving against something, which can manifest in various contexts such as physical forces, social movements, or individual behaviors against change.

Emotional High

A state of intense happiness or euphoria.

Performance

The act of carrying out a task with a specific outcome in mind, often measured against known standards of completeness, accuracy, and speed.