If Stephen earns $100,000 this year and pays $20,000 in taxes and Chris earns $50,000 this year and pays $5,000 in taxes, this tax system would appear to be
a. progressive
b. proportional.
c. regressive.
d. none of the above
a
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Refer to Table 2-17. Which of the following statements is true?
A) Lucy has a comparative advantage in making both products. B) James has a comparative advantage in making both products. C) Lucy has a comparative advantage in making tricycles and James in making wagons. D) Lucy has a comparative advantage in making wagons and James in making tricycles.
A headline reads: "Economy Still in Recession." The type of unemployment most closely associated with this economic condition would be:
A. structural. B. frictional. C. search. D. cyclical.
Adding the assumption of pure competition and complete flexibility of all prices and wages to the rational expectations hypothesis yields a theory that provides support for
A. discretionary policy making. B. passive policy making. C. irrelevant policy making. D. active policy making.
In the Battle of the Sexes game,
a. Fred and Ethel are best off choosing the activity they prefer. b. Fred is better off attending the opera with Ethel than having Ethel attend the boxing match with him. c. Ethel is better off attending the boxing match with Fred than having Fred attend the opera with her. d. Fred and Ethel would both be better off choosing to attend either activity together than going alone to the activity they prefer.