Assume a family that earns $20,000 pays $2,000 in income taxes, while a family that earns $40,000 pays $3,500 in income taxes. In this situation, the income tax system is
A) progressive.
B) regressive.
C) proportional.
D) one of the above but we cannot tell which one without more information.
B
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Consolidation or cooperation frequently occurs in the public sector. Give some reasons why local governments consolidating or cooperating through special districts might be problematic
What will be an ideal response?
Game theory is a tool to analyze
a. the pricing strategy in perfect competition. b. the price set by a monopoly. c. independence among firms. d. mutual interdependence among firms.
Jason has been holding his retirement savings in a safe in his house. Currently the economy is experiencing a falling price level. He can conclude that: a. the real purchasing power of his money is remaining constant
b. the real value of his savings is increasing as long as the price level is falling. c. the real value of his savings is decreasing as long as the price level is falling. d. none of the above are true.
Suppose a company's bond sold for $900 last month and this month the price is $1,200. The annual interest payment is $90. The current yield on this bond is
A. 10.0 percent. B. 22.2 percent. C. 18.2 percent. D. 7.5 percent.