FICA is a payroll tax imposed on employers and workers that is used to fund Social Security and Medicare. Which of the following statements regarding the tax is true?
A) Most economists believe the burden of the tax falls almost entirely on workers.
B) Congress wanted the burden of the tax to be greater for employers than for workers.
C) Most economists believe the burden of the tax falls mostly on employers.
D) Employers are required to pay a greater share of the tax than workers but most economists believe the burden of the tax is shared equally.
A
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In 2012, Canadian farmers did not suffer from drought conditions that affected the United States, but they did enjoy the higher corn prices. Canadian farmers reacted to the higher price by planting more corn
Suppose that the price of corn increased by 30 percent and the Canadian farmers increased the quantity of corn they supply by 20 percent. The supply of corn is A) perfectly inelastic. B) unit elastic. C) elastic. D) inelastic.
How can lack of investment in social capital affect private firms' profits?
What will be an ideal response?
In today's world, many countries impose tariffs
A) only on imports. B) only on exports. C) on both imports and exports. D) on imports, exports, and nontraded goods.
Refer to Table 4.2. With which scenario will you be indifferent about investing in either U.S. or Japanese bonds?
A) A B) B C) C D) D