Refer to the data. If a lump-sum tax (the same tax amount at each level of GDP) of $40 is imposed in this economy, the tax system:
Answer the question on the basis of the following before-tax consumption schedule for a closed economy:
A. is regressive.
B. is proportional.
C. is progressive.
D. may be either proportional or progressive.
A. is regressive.
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A pure public good will never be provided by individuals acting on their own initiative
Indicate whether the statement is true or false
Marginal cost is calculated as
A) total cost divided by output. B) the increase in total cost divided by the increase in output. C) the increase in total cost divided by the increase in labor, given the amount of capital. D) total cost minus total fixed cost.
Sammy is willing to lend Oscar $625 today so Oscar can purchase a new set of tires for his pickup truck. Oscar agrees to pay the loan back plus 5% interest in one year. What is the future value of this loan?
A) $595.24 B) $656.25 C) $750.00 D) $812.50
Use the following graph of the total demand for money to answer the next question.
Assume we begin at point a. An increase in the interest rate will can be shown as a move to ________.
A. point b B. point c C. point d D. point e