If the price elasticity of demand for aluminum foil is 1.45, then a 2.4% decrease in the price of aluminum foil will increase the quantity demanded of aluminum foil by
a. 1.66%, and aluminum foil sellers' total revenue will increase as a result.
b. 1.66%, and aluminum foil sellers' total revenue will decrease as a result.
c. 3.48%, and aluminum foil sellers' total revenue will increase as a result.
d. 3.48%, and aluminum foil sellers' total revenue will decrease as a result.
c
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Of age, marital status, family size, education, and race, which is the single biggest factor affecting the household income distribution?
What will be an ideal response?
Tax incidence refers to
A) determining who sends the taxes into the government. B) the tendency of some people to avoid paying taxes at all. C) the distribution of tax burdens among groups, or who really pays a tax. D) determining the marginal tax rate applied to any increase in income.
Discretionary fiscal policy is best defined as:
a. the deliberate change in tax laws and government spending to change equilibrium income. b. the deliberate manipulation of the money supply to expand the economy. c. the arbitrary fluctuation in tax laws and budget requirements. d. the automatic change in certain fiscal instruments when real GDP changes. e. the policy action taken by the Congress to reduce the federal budget deficit.
Poverty is a mainstream event experienced by a majority of Americans
a. True b. False Indicate whether the statement is true or false