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If the substitution effect is larger than the income effect, a decrease in tax rates will lead to a

NYC

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If the substitution effect is larger than the income effect, a decrease in tax rates will lead to a

If the substitution effect is larger than the income effect, a decrease in tax rates will lead to a decrease in the labor supply.
A) True
B) False

Textbook

Principles of Macroeconomics

Principles of Macroeconomics

Edition: 11^th

Authors: Case, Fair, Oster

Read 115 times

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Jesslyn

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NYC Author

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8 years ago

Perfect answer, thank you

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