If there is a decrease in taxes on business firms in a small open economy, it causes the current account to ________ and the equilibrium amount of saving to ________.
A. rise; remain unchanged
B. fall; fall
C. fall; remain unchanged
D. rise; fall
Answer: C
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Annual incomes of James, Jack, and Stanley are $30,000, $50,000, and $80,000 and their tax rates are 10 percent, 20 percent, and 30 percent respectively. Which tax structure is this an example of?
A. Proportional tax B. Progressive tax C. Regressive tax D. Digressive tax
Answer the following statements true (T) or false (F)
1) In the short run, managers are limited because at least one input is fixed. 2) The long-run marginal cost curve intersects the minimum point on the long-run average cost curve. 3) The long-run profit-maximizing quantity is found by setting the long run marginal cost equal to the long-run average cost. 4) In response to a decrease in the market demand, to maximize short-run profits, managers of perfectly competitive firms will decrease production by employing fewer fixed inputs. 5) At its current production level, a perfectly competitive firm's marginal revenue and long-run marginal cost are equal to $4 and its long-run average cost is $3, it should expect the market price of its product to fall.
Trade can increase the consumption possibilities of nations
a. True b. False Indicate whether the statement is true or false
If you want to earn a high income you should figure out what others value because
What will be an ideal response?