The correct answer is B "The price of chocolate has gone up and sales are down". Price sensitivity is the effect the price of a product causes in its demand towards consumers. It is also called price elasticity of demand. A simple example is when the price of a good goes up, its sales go down. It means the consumers are not willing to pay more for that product. This is the case of option B. The price of chocolate increased and made the sales decrease.
Answer:
Poverty. I hope this answer helped you!
Below are the choices:
A. Tax cuts increase disposable income, which leads to a higher national income and additional consumer spending.
<span>B. Tax cuts reduce government spending, which encourages consumer spending. </span>
<span>C. Tax cuts reduce interest rates, which stimulates consumer spending and borrowing. </span>
<span>D. Tax cuts increase government transfer payments, which leads to a higher national income and additional consumer spending.
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The answer is A.
Also increases government revenue in the long run. Tax cuts increase consumer spending which creates growth, which creates more jobs (tax payers)
They can provide the country with money and supplies like the US did in the early parts of world war I and World War II.
