If the government increases the income tax rate:
A. disposable income decreases.
B. disposable income increases.
C. disposable income remains unaffected.
D. total income increases.
A. disposable income decreases.
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Government spending plays no role in meeting our social and public needs.
Answer the following statement true (T) or false (F)
The study of economics is best described as a study of
A) capitalism. B) the factors that influence the stock and bond markets. C) the choices made in producing goods and services. D) how people earn a living. E) coping with scarcity, and choices made as a result of scarcity in a society.
Refer to Table 1-6. Using marginal analysis, how many hours should Ivan extend his hours of operations?
A) 2 hours B) 3 hours C) 4 hours D) 5 hours E) 6 hours
The classical model indicates that at the equilibrium interest rate, saving is
A) equal to investment. B) greater than investment. C) unnecessary for investment. D) less than investment.