Answer:
output would necessarily rise.
Explanation:
Tax is the amount that a government levies on its citizens to fund it's expenditure, and for the individual income tax is levied.
If the government decides to reduce personal tax, this will free up funds to engage in economic activities and make resources more productive. The individual's disposable income will increase and when invested in business activities to promote productivity.
Increased productivity will necessarily increase the output from the economy.
Creates an incentice for farmers to grow more corn
Businesses and entrepreneurs are more willing to take up projects with high relative profit because they are looking for profits.
Explanation:
The government sponsored projects which are on offer do not generate as much revenue for a firm that they can earn for a similar project in which the per unit cost of production will be covered better as the consumer will be paying them more.
In government funded projects, they will not receive enough benefits from the government to cover their costs and justify the price drop which comes with people expecting lower rates from products associated with the work of the government.
Thus is it viable to work on private projects more.
<h3>What is production possibility curve?</h3>
production possibility curve is can be regarded as a curve which provides illustration of the possible quantities, which is very possible to be produced from two products.
And for this to be possible, both must depend upon the same finite resource for their manufacture.
Learn more about production possibility curve at:
brainly.com/question/8583830
The answer that fits the blank provided is the EUROPEAN UNION. From the term itself, this is the formation of different nations in Europe which was formed in 1991 and this included a single currency, a central European bank, and unified social policies. Hope this helps.