When the minimum marginal penalty for tax evasion is greater than the maximum marginal tax rate, theory suggests that tax evasion will be
A. greater than 1.
B. ?.
C. 0.
D. 100.
C. 0.
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Which of the following is NOT true of the yield curve for U.S. Treasury securities?
A) Typically, it slopes upward. B) It depicts the relationship among yields on securities of different maturities. C) Typically, it shifts up or down rather than twists. D) Typically, it slopes downward.
According to the graph shown, if a firm is producing at Q3:
This graph represents the cost and revenue curves of a firm in a perfectly competitive market.
A. profits are being maximized.
B. average total costs exceed the market price.
C. the firm should expand production.
D. marginal revenue is greater than marginal cost.
A perfectly competitive firm's pricing decision depends on:
a. whether the firm wants to maximize profits or not. b. whether the firm wants to maximize sales revenue or not. c. the firm's costs. d. whether it wants to compete with other firms in the market or not. e. the market supply and demand.
When do we say that a bank is loaned up?
a. When its debtors don't want to repay b. When it is susceptible to a bank panic c. When its excess reserves equal zero d. When it is part of a fractional reserve banking system e. When its required reserves are equal to its excess reserves