Joe Franklin deposits $22,000 in a savings account that pays 6% interest compounded monthly. Three years later, he deposits $16,000. Two years after the $16,000 deposit, he makes another deposit in the amount of $13,500. Four years after the $13,500 deposit, half of the accumulated funds are transferred to a fund that pays 8% interest compounded quarterly. How much money will be in each account six years after the transfer

What could explain why a decrease in taxes could lead to a less-than-proportionate increase in output? a. as a result of diminishing returns to current consumption, consumers may choose to spread the extra spending over the long term rather than consuming the proceeds of a tax cut all at once. b. consumers may choose to save much of the tax cut in anticipation of having to pay higher taxes in the future. c. a decrease in taxes will necessitate lower government outlays, thus largely offsetting the higher consumption expenditures of households. d. all of the above. e. a and b only.