equili simplified model with proportional taxation, there can be two equilibria, one with a Lxplannl your...

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equili simplified model with proportional taxation, there can be two equilibria, one with a Lxplannl your results. s In the e and one with a low tax rate. Now, suppose that government spending increases high taktheeffects of an increase in G on consumption, leisure, labour supply, real output, tax rate in a high-tax equilibrium and in a low-tax equilibrium. How do your results differ? Explain why

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equili simplified model with proportional taxation, there can be two equilibria, one with a Lxplannl your...

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