Impact of change from federal income tax to federal

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Reference no: EM1314064

The impact of changing from a federal income tax to a federal consumption tax would be:

a) A decrease in the quantity of loan able funds exchanged and an increase in the real interest rate

b) An increase in the quantity of loan able funds exchanged and a decrease in the real interest rate

c) An increase in the quantity of loan able funds exchanged and an increase in the real interest rate

d) A decrease in the quantity of loan able funds exchanged and a decrease in the real interest rate

Reference no: EM1314064

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