Question

The country of Lilliput has high unemployment and low consumer spending, and small businesses are closing. What should Lilliput's government do to improve the economy?

A. Lower the income tax, which gives citizens less money to spend, and buy services from civilian-owned businesses, which creates more jobs.
B. Raise the income tax, which gives citizens less money to spend, and stop buying services from civilian-owned businesses, which eliminates jobs.
C. Lower the income tax, which gives citizens more money to spend, and buy more services from civilian-owned businesses, which creates more jobs.
D. Raise the income tax, which gives citizens less money to spend, and buy more services from civilian-owned businesses, which creates more jobs.services from civilian-owned businesses, which creates more jobs.

Answer 1

c. lower the income tax, which gives citizens more money to spend, and buy more services from civilian-owned businesses, which creates more jobs.

Step-by-step explanation:

got it right on the test

Answer 2

The situation of the country of Lilliput can be simply solve by Lower the income tax, which gives citizens more money to spend, and buy more services from civilian-owned businesses, which creates more jobs. Income tax results to citizen’s less spending on their necessity and wants. Government should also find solution to generate jobs so buying more services can create jobs.