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12 May, 21:02

If the circular flow model shows that if the government hands out a tax cut, what should happen with the money?

A. the money will cycle through households and businesses on a continuing basis

B. the money will only be used for imports

C. the money will end up with the households and placed in investment accounts

D. the money will be stagnant and not spent by either households or businesses

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Answers (1)
  1. 12 May, 22:08
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    I will say c but that is my opinion
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