Economy, asked by ayush33328, 11 months ago

If taxes are decreased by the government what will be the impact on aggregate demand?

Answers

Answered by Poorv21
1

Explanation:

A reduction in taxes will leave more disposable income and cause consumption and savings to increase, also shifting the aggregate demand curve to the right. An increase in government spending combined with a reduction in taxes will, unsurprisingly, also shift the AD curve to the right.

Answered by startimenetworkkanna
0

Answer:

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