Jan has an income of $30,000 and pays $4,500 in taxes. When Jan's income rises to $40,000, her tax bill rises to $6,500. What is Jan's marginal tax rate?
A. 5 percent.
B. 15 percent.
C. 16.25 percent.
D. 20 percent.
Answer: D
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Which one of the following does NOT contribute to economic growth?
A) increases in the price level B) the growth of capital and labor productivity C) the growth of the labor force D) the growth of the capital stock
Firms that produce 80 percent of all computer chips have shut down their facilities for maintenance. In the computer chip market this will lead to
A) an increase in price and a decrease in quantity. B) an increase in price and an increase in quantity. C) a decrease in price and a decrease in quantity. D) a decrease in price and an increase in quantity.
Supply is very elastic when
A. The quantity demanded causes the quantity supplied to increase. B. The quantity supplied does not change much when price rises. C. The quantity supply does not respond to an increase in price. D. The quantity supplied has a large increase in response to an increase in price.
Recall the Application about food and drink pricing during "happy hour" at bars and restaurants to answer the following question(s).Recall the Application. During "happy hour," many bars and restaurants face an increase in demand for food and drink, and these establishments often cut prices during these times of increased demand. When this demand increases, the demand curve facing these bars and restaurants becomes:
A. vertical. B. horizontal. C. steeper. D. flatter.