University of Missou University of Missour x C pling 2543987 Question 10 of 12 M

Question

University of Missou University of Missour x C pling 2543987 Question 10 of 12 Map sapling learning he government increases taxes, this causes the after-tax income that consumers have left to spend to C fa O increase. O not change This causes total consumer spending to O not change O decrease O increase. O Ask me anything Due Date: Points Possible: Grade Category: Description: Review Chapter 1 Policies You can check yo You can view solu You have two atte You lose 10% of t answer in your q attempt at that al For multiple-choi depends on the r O eTextbook O Help With This 4) 0:20 PM 4/20/2016

Explanation / Answer

When taxes are increased by the government, the net disposable income in the hands of individuals falls as they have to pay more taxes and this results in total consumer spending to decrease.

So, for the first question option A and for the second question option B is the correct option.

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