The graph above refers to a significant increase in individual income taxes, taking them to their highest level in 50 years. Which of the following is likely to result?
A. cyclical unemployment will decrease
B. inflationary pressures will be greater
C. the economy will experience lower economic growth
D. input prices will rise in the short run
Answer:C
The graph above refers to a significant increase in individual income taxes, taking them to their highest level in 50 years. Which of the following is likely to result?
A. cyclical unemployment will decrease B. inflationary pressures will be greater C. the economy will experience lower economic growth D. input prices will rise in the short run
Explanation: Type: Multiple Choice