1. The 2017 tax plan, which cut corporate tax rates to 21%, was set to stimulate firms to invest in physical capital (as
Posted: Thu May 19, 2022 10:43 am
1. The 2017 tax plan, which cut corporate tax rates to 21%, was set to stimulate firms to invest in physical capital (as profits after taxes should have increased). Can you assess the consequences of this only effect (firm investment in physical capital) on investment, productivities of labor and capital, and effects on production function (using all equations and graphs).