If Mary earns $80,000 in taxable income and pays $40,000 in taxes, her marginal tax rate must be 50 percent
a. True
b. False
Indicate whether the statement is true or false
False
You might also like to view...
The change in price that results from a rightward shift in demand will be greater if
A) the supply curve is horizontal than if the supply curve is upward sloping. B) the supply curve is relatively steep than if the supply curve is relatively flat. C) the supply curve is upward sloping than if the supply curve is vertical. D) the supply curve is horizontal than if the supply curve is vertical.
Vertical contracts between manufacturers and retailers often aim to
a. Incentivize the retailers to undertake costly activities, which they otherwise may not realize the full benefits of on their own b. Reward the retailer for undertaking the risk inherent in introducing a new product c. Reimburse the retailer for the cost of managing an extended inventory d. All of the above
Hired housekeepers, nannies, and cooks, working in households as either employees or self-employed persons, earn incomes for productive services that are not counted in GDP
Indicate whether the statement is true or false
Exhibit 16-6 Money, investment and product markets
In Exhibit 16-6, an increase in the money supply from MS1 to MS2 causes:
A. interest rates to fall from i1 to i2 and the quantity demanded of investment to decrease from I2 to I1. B. interest rates to fall from i1 to i2 and aggregate demand to shift from AD2 to AD1. C. interest rates to fall from i1 to i2 and the quantity demanded of investment to increase from I1 to I2. D. interest rates to rise from i2 to i1 and the quantity demanded of investment to remain the same.