If a flat tax plan allowed individuals to deduct a standard allowance of $15,000 and the flat tax rate was 10 percent, an individual earning $12,000 a year would not pay any income taxes
a. True
b. False
Indicate whether the statement is true or false
True
You might also like to view...
The federal funds rate is the interest rate that
A) the Fed charges to banks that borrow from it. B) banks charge the Fed for using their reserves. C) banks charge each other for borrowed money. D) the Fed pays on bank reserves.
Which of the following would encourage domestic producers to compete internationally?
a. Tax increases b. Policies that make domestic sales more attractive c. Cash payments d. Expropriation e. High-interest loans
The price elasticity of demand along a vertical demand curve is
A) elastic at high prices and inelastic at low prices. B) infinite. C) one. D) zero.
Which of the following best describes the difference between a demand curve and a demand schedule?
A) A demand curve shows different quantities of a good demanded at different prices, whereas a demand schedule shows different quantities of a good demanded at different incomes. B) A demand curve can be derived from a demand schedule, but a demand schedule cannot be derived from a demand curve. C) A demand curve shows different quantities of a good demanded at different incomes, whereas a demand schedule shows different quantities of a good demanded at different prices. D) A demand curve is a graphical representation of the relationship between the quantity of a good and its price, whereas a demand schedule is a tabular representation.