When a tax is regressive, as a person's income rises, the tax rate
a. remains unchanged
b. decreases
c. increases
d. becomes the head tax rate
e. becomes the excise tax rate
B
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After the sugar substitute saccharin was found to cause cancer in laboratory mice, its price dropped dramatically. This change in the price was because
A) the supply of saccharin decreased. B) the demand for saccharin decreased. C) the government ordered the price reduction. D) saccharin producers felt sorry for their past customers and were making an honest attempt to compensate them.
A bank's net worth is:
a. equal to assets plus liabilities b. sometimes called the owners' equity. c. equal to assets minus reserves. d. the same thing as net profits. e. the amount of interest charged by the bank for short-term loans.
A budget surplus exists when
a. Tax receipts < government expenditures + transfers. b. Tax receipts > government expenditures + transfers. c. Government expenditures ? transfers > tax receipts. d. Government expenditures > transfers + tax receipts.
Name two occupations that have the two characteristics required for the superstar phenomenon