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28. True or False AND explain why: a. If G > T, the government budget is in a surplus. b. A tax cut will increase equilibrium Y, and a tax increase will decrease equilibrium Y. c. If the MPC = .6, the
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Apr 20, 2023
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28. True or False AND explain why:
a. If G > T, the government budget is in a surplus.
b. A tax cut will increase equilibrium Y, and a tax increase will decrease equilibrium Y.
c. If the MPC = .6, the tax multiplier is -1.5.
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Generalhenry
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True! I say this because the MPC will be .6 is you multiple with the equilibrium
Sushil Pandey
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Apr 24, 2023
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