Social Studies, 30.07.2019 18:10 gracye
Arecent report on gdp growth rates showed that the gdp of dorada, a developed economy, has declined by 1.5 percent this year. emily george and her friend tabitha jude, both students of economics, are discussing the possible reasons for the decline in the growth rate. emily feels that the government deficit has reached an unsustainable level, as a result of which interest rates now are extremely high. this has reduced government expenditure in recent times, leading to a decline in gdp. tabitha however disagrees. according to her, the fall in gdp must imply a fall in consumer spending as household consumption accounts for the largest share in dorada's gdp. which of the following, if true, will weaken tabitha's argument? a. the government of dorada has recently raised the price ceiling on house rents. b. the government increased income tax rates by 0.75 percent this year for each income tax bracket. c. the government of dorada recently introduced a new medical care program for lower-income individuals and senior citizens. d. although sales tax rates remained unchanged, the government's revenue from sales taxes increased considerably this year. e. the interest rates on bank deposits have increased by 1 percent.
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Arecent report on gdp growth rates showed that the gdp of dorada, a developed economy, has declined...
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