Answer:
b) households will save more because they will expect higher taxes in the future
Explanation:
The Ricardian Equivalence proposition is one of the pillars of classical economics, which sadly has proven to not work very well in the real world. According to classical economists, and their quantity theory of money plus the Ricardian Equivalence, recessions do not exist because it is impossible for them to exist. But in the real world, that is not true. Recessions exist, e.g. the US is in a recession since the first quarter of 2020 (even before the current health crisis). When real people lose their jobs or are afraid to lose their jobs, their spending habits change.
On the other hand, when real people get a tax refund or tax cut, they generally spend it, they will not save it to pay future taxes. That is why car sales increase during February after checks form the IRS are handed out.
Theoretically, classical economics is great. The problem is that we are human beings, and as such, our behavior cannot be controlled or determined by what we should or should not do. This is exactly why the velocity of money (quantitative theory of money) is not constant.
Answer:
401 retairement plan
Explanation:
A 401(k) is a retirement plan based on savings with the contribution of the employer. The contribution made by the employer and portion of the wage that is saved is collected before taxes.
The statement in above describes the choice letter B, which can be considered as the correct answer. It is considered to be not clear and not measurable because the statement does not provide the exact or clear information. It does not state in which or what way will the expanding of the product line be.
1. Own your name.
2.Get in with the law.
3.How much do you need to live? got to think about your living costs.
4.Takes Brains, and bravery.
5.learn and be smart
