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26 August, 22:54

Suppose that the U. S. government began to pay for a portion of everyone's college education, and it paid for this by increasing taxes on business investment. How would this policy affect economic growth? A Increase economic growth B Decrease economic growth C. Not impact economic growth D We cannot tell

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  1. 27 August, 02:02
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    The correct answer is letter "B": Decrease economic growth.

    Explanation:

    If the U. S. government imposes taxes on investments, entrepreneurs are more likely to be discouraged by this measure even if the sources collected from the levies will be destined for a cause such as education. As a result of lower investments, the country's output will decrease, thus, the economic growth will dwindle.
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