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Economics, Accounting & Business: Post your doubts here!

Messages
399
Reaction score
170
Points
43
Output is correct coz it will raise money wages not real wages. a and D i found not relevant...
What u say WaleedUQ what u opt?
reducing surplus
we have to restrict spending...
increase direct taxes will reduce income result in low consumption which means inflation may reduce..
as people real income will decrease they will demand an increase in wages which may effect Exports
as exports price may rise
 
Messages
399
Reaction score
170
Points
43
Output is correct coz it will raise money wages not real wages. a and D i found not relevant...
What u say WaleedUQ what u opt?
reduction in output will reduce supply increasing prices..
as more out will increase people will consume more raising prices
 
Messages
177
Reaction score
81
Points
38
reducing surplus
we have to restrict spending...
increase direct taxes will reduce income result in low consumption which means inflation may reduce..
as people real income will decrease they will demand an increase in wages which may effect Exports
as exports price may rise
i gues i marked B too..
 
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