A reduction in current taxes must result in which of the following? lower future taxes higher government spending in the future some combination of lower government spending and higher future taxes only (a) and (c) are true

A reduction in current taxes must result in which of the following? lower future taxes higher government spending in the future some combination of lower government spending and higher future taxes only (a) and (c) are true

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter30: Government Budgets And Fiscal Policy

Section: Chapter Questions

Problem 6SCQ: What taxes would an individual pay if he were self-employed and the business is not incorporated?

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5. A reduction in current taxes must result in which of the following?

		lower future taxes
		higher government spending in the future
		some combination of lower government spending and higher future taxes
		only (a) and (c) are true

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