As exemptions are raised and allowable deductions are increased, there is
A. Greater horizontal equity.
B. Greater vertical inequity.
C. A smaller gap between effective and nominal tax rates.
D. A smaller gap between gross income and taxable income.
Answer: B
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Goods that are produced in other countries and then sold domestically are called
A) exports. B) imports. C) tariffs. D) quotas.
The narrowest definition of money:
A. is referred to as hard money. B. includes the things that can be used in transactions immediately. C. contains only cash and bank reserves held at the Fed. D. All of these are true.
A person who voluntarily quits his/her job in New York and expects to get a similar job in Los Angeles is an example of:
a. frictional unemployment. b. structural unemployment. c. durational unemployment. d. cyclical unemployment.
According to the U.S. Robinson - Patman Act of? 1936, price discrimination
A. may be used to drive rivals out of business. B. is always illegal. C. can only be justified if the price discrimination is due to actual cost differences. D. is legal unless it harms competition.