4. As income taxes rise, disposable income , causing the AD curve. a. increases; movement down along ; a rightward shift of

a leftward shift

.b. increases

c. decreases; movement up along

d. decreases;

The income that is retained after the deduction of taxes the security charges and the amount that is spent an the amount that the house hold expenses is called as the disposable income

The amount that is left from the subtraction of the income tax from the current income is called as the disposable income and change in the disposable income will cause the AD curve to shift and hence the decrease will cause the curve to shift leftwards

4. As income taxes rise, disposable income __________, causing __________ the AD curve. a. increases; movement down along ; a rightward shift of a leftward shift .b. increases c. decreases; movement up along d. decreases;

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4. As income taxes rise, disposable income , causing the AD curve. a. increases; movement down along ; a rightward shift of

a leftward shift

.b. increases

c. decreases; movement up along

d. decreases;