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9 March, 13:45

What effect does the elimination of sales tax by state governments have on the short run economy?

A) Investment will decrease and AS will shift left in the short-run

B) Consumption will decrease and AD will shift left in the short-run

C) Consumption will increase and AD will shift right in the short-run

D) Government Spending will decrease and AD will shift left in the short-run

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Answers (1)
  1. 9 March, 16:15
    0
    I'm not so sure but I think it is the third one
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