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Roar Roar
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7 years ago
Suppose policy makers decide to reduce taxes. This fiscal policy action will cause which of the following to occur?
A) the LM curve shifts and the economy moves along the IS curve.
B) the IS curve shifts and the economy moves along the LM curve.
C) both the IS and LM curves shift.
D) neither the IS nor the LM curve shifts.
E) output will change causing a change in money demand and a shift of the LM curve.
Textbook 
Macroeconomics

Macroeconomics


Edition: 6th
Authors:
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legendvpnlegendvpn
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7 years ago
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Roar Author
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7 years ago
Good timing, thanks!
Brownr40
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Yesterday
Correct Slight Smile TY
kh540941
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2 hours ago
Thanks
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