Transforming the tax base of an income tax by subtracting savings has the advantage that _____
a. a progressive rate structure can be applied to a consumption tax
b. all income can be taxed at a flat rate
c. it double taxes income
d. it guarantees progressivity
a
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Total utility can be thought of as the
A. total satisfaction derived from a bundle of goods. B. minimum amount of money a consumer is willing to spend on a bundle of goods. C. additional satisfaction a consumer receives from the marginal unit of a good. D. willingness to pay for the marginal unit of a good.
Assume that GDP = $10,000 and the MPC = 0.75. If policy makers want to increase GDP by 30 percent, and they want to change taxes and government spending by equal amounts, how much would government spending and taxes each need to increase?
A) $300 B) $750 C) $1,000 D) $3,000
What are the five variables that will shift the demand curve?
What will be an ideal response?
Patents and copyrights create incentives for individuals to create information that might not be produced otherwise
Indicate whether the statement is true or false