Which of the following acted as a counterweight to increasing income inequality during 1960 - 1980?

A. An increase in the number of two-earner households
B. An increase in the tax rates on carried interests
C. A decrease in inheritance tax rates
D. A decline of union-represented manufacturing employees


Answer: A

Economics

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Indicate whether the statement is true or false

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In perfect competition, an increase in the firm’s fixed costs lead to

A. a drop in the firm’s output. B. an increase in the firm’s output. C. an increase in its total costs. D. a drop in industry output.

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Collusion refers to a situation where rival firms decide to:

A. Compete aggressively against each other B. Cheat on each other C. Agree with each other to set prices and output D. Combine their operations and merge with each other

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Refer to the diagram. Physicians likely would argue that health care should be provided to patients in:



A.  some amount less than Q 1 .
B.  amount Q 1 .
C.  some amount between Q 1 and Q 2 .
D.  amount Q 2 .

Economics