Assume a small town decides to build a park by imposing a $2,000 lump-sum tax on each household. If a household's income rises from $50,000 to $75,000 . its marginal tax rate is:
a. 0%
b. 2.67%
c. 4%
d. 8%
a
You might also like to view...
While some countries might be better off (in terms of social surplus) from the imposition of a tariff, the world overall is always worse off (in terms of social surplus) when import tariffs are imposed.
Answer the following statement true (T) or false (F)
The seven members of the Board of Governors of the Federal Reserve are appointed by
A) Congress. B) the Treasury Department. C) the President. D) leaders in the banking industry. E) the Governors of the States.
How was South Korea able to use infant industry protection successfully to start its car companies, when many countries experience negative results when they use infant industry protection?
a. The protection has never stopped. b. The protection was so small it had no effect on the car companies. c. The protection had a definite end, whether the infant industry grew or did not grow. d. The protection had a large enough subsidy to make companies’ profitable.
An example of a private good is:
A. national defense. B. a bottle of perfume. C. city streets and highways. D. clean air.