An increased tax on profits leaves the optimal rate of output unchanged in the short run.
Answer the following statement true (T) or false (F)
True
Taxes on profits are neither a fixed cost nor a variable cost since they depend on the existence of profits. They don't affect marginal costs or price and so leave the optimal rate of output unchanged.
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All else equal, when oil prices increase, people are ________ to look for oil substitutes. This will ________ the number of years it will take to deplete the stock of oil
A) discouraged; increase B) discouraged; decrease C) encouraged; increase D) encouraged; decrease
Maria can work as a coal miner, where the probability of being killed in a work-related accident is 5/8,000, or she can earn work as a truck driver, where the probability of being killed in a work-related accident is 2/8,000
Using the compensating differential approach, the value of Maria's life is $4 million. How much more per year will working as a coal miner pay than working as a truck driver? A) $1,500 B) $2,000 C) $2,500 D) $3,500
If consumers purchase more of a good when their income rises, the good is a normal good
a. True b. False Indicate whether the statement is true or false
Which of the following phrases indicates that income is being spoken of?
A. Tuesday, at 12:30 p.m. B. July 14, 1948 C. From January 1 to March 30 D. Yesterday afternoon