Jan has an income of $30,000 and pays $4,500 in taxes. When Jan's income rises to $40,000 . her tax bill rises to $6,500 . What is Jan's marginal tax rate?
a. 5 percent.
b. 15 percent.
c. 16.25 percent.
d. 20 percent.
d
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Changes in conditions of supply and demand lead to price changes. For which of the following types of goods is the change in price likely to occur most quickly?
A) Commercial rents B) Hourly labor C) Public utilities D) Residential rents E) Retail groceries
Historically, the change in real GDP during recessions has been
a. mostly a change in investment spending. b. mostly a change in consumption spending. c. about equally divided between consumption and investment spending. d. sometimes mostly a change in consumption and sometimes mostly a change in investment.
the change in average price levels
What will be an ideal response?
Any test of rational expectations is a joint test of the underlying model that expectations are formed rationally.
Answer the following statement true (T) or false (F)