If you could design an ideal experiment to answer this question, how would you do so? Do you think it would be pract

Suppose that you are interested in answering the question of how consumption reacts to tax cuts. In recent years, recessions have been countered with tax rebates, wherein households are sent a check for several hundred dollars. This check amounts to a “rebate” of past taxes paid. If you could design an ideal experiment to answer this question, how would you do so? Do you think it would be practical to use this experiment on a large scale?

× How can I help you?