The undesirable effects of bracket creep can be eliminated by indexing marginal tax rates.
Answer the following statement true (T) or false (F)
True
If incomes rise due to inflation, this will move some earners into a higher tax bracket unless tax rates are indexed to the price level.
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The economy of Budopia is going through a recession. How will a countercyclical policy affect the labor market in Budopia if wages are flexible? Explain with a diagram
What will be an ideal response?
From the economic point of view, what does a professor who posts her syllabus on the Internet and a restaurant that posts its menu outside have in common?
A) They are attempting to exploit others. B) They are reducing competition. C) They are expanding the range of opportunities available to others. D) They are solely in it for the money.
An import quota is a
a. legal limit on the quantity of a good that can be imported per year b. legal requirement that a specified percentage of a final good's value must be produced domestically c. legal requirement that exports to a certain country must exceed a specified value before that country's product may be imported d. percentage tax on an imported product e. lump-sum tax on an imported product
Appreciation of the Japanese Yen would lead to
a. outward shift in the aggregate supply curve for Japan. b. upward shift in the aggregate demand curve for Japan. c. downward shift in the aggregate supply curve for Japan. d. downward shift in the aggregate demand curve for Japan.