Macroeconomics 8th Edition by David Colander

تمرين 2

To help understand the distributional consequences of the tax cuts advocated by many conservative politicians, answer the following:
a. What income groups have the largest marginal propensity to consume: high orb. If your goal were to minimize the deficit cost of a tax stimulus, who should receive the tax cuts? Who received the tax cuts?
c. What will the tax cut do, relatively speaking, to the debt?
d. Is there a pattern here? (Institutionalist)