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A Decrease in the Marginal Tax Rate on Asset Income

Question 31

Multiple Choice

A decrease in the marginal tax rate on asset income, A decrease in the marginal tax rate on asset income, <sub>r</sub>, in the short run in the market clearing model: A) raises change the stock of capital B) increases real GDP. C) increases gross investment. D) all of the above. r, in the short run in the market clearing model:


A) raises change the stock of capital
B) increases real GDP.
C) increases gross investment.
D) all of the above.

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