Question 2 The IS curve would unambiguously shift up if there were an increase in both government purchases and corporate taxes. an increase in both government purchases and the expected future marginal product of capital. an increase in the expected future marginal product of capital and a decrease in expected future output. a decrease in both corporate taxes and the expected future marginal product of capital.

Question 2 The IS curve would unambiguously shift up if there were an increase in both government purchases and corporate taxes. an increase in both government purchases and the expected future marginal product of capital. an increase in the expected future marginal product of capital and a decrease in expected future output. a decrease in both corporate taxes and the expected future marginal product of capital.

ECON MACRO

5th Edition

ISBN:9781337000529

Author:William A. McEachern

Publisher:William A. McEachern

Chapter9: Aggregate Demand

Section: Chapter Questions

Problem 3.7P

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