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If the government cuts taxes, what components of aggregate demand are affected?
You may select more than one answer.
 
A. Consumption
B. Investment
C. Net exports
D. Government spending 

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Prachi Dabas
Prachi DabasLv10
29 Sep 2020

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Related questions

For an economy, aggregate demand equals:

a. consumption plus investment plus (taxes minus transfers) plus (exports minus imports).
b. consumption plus investment plus government spending plus (exports minus imports).
c. consumption plus investment plus government spending plus exports.
d. consumption plus investment plus government spending plus net exports (imports minus exports).

Which one of the following are the components of aggregate expenditures?

  1. Household consumption, business investment, government spending on goods and services, and net exports.
  2. Household consumption, business investment, government transfer payments, and net exports.
  3. Household consumption, business investment, government spending on goods and services, and exports.
  4. Household consumption, business investment, government spending on goods and services, and saving.

 

 

 

Which one of the following are the components of aggregate expenditures?

a.) Household consumption, business investment, government spending for goods and services, and net exports

a.) Household consumption, business investment, government transfer payments, and net exports

a.) Household consumption, business investment, government spending for goods and services and exports

a.) Household consumption, business investment, government spending for goods and services and savings

 

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