A tax on interest income could be efficient even if it leads to a decrease in savings.
Answer the following statement true (T) or false (F)
True
Rationale: If consumption now and consumption in the future are perfect complements, savings will decrease when the after-tax interest rate falls -- but there are no substitution effects that give rise to a deadweight loss.
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The unemployment rate equals the percentage of the adult population that is unemployed
a. True b. False Indicate whether the statement is true or false
Developing countries, like many developed countries, have a dual economy.
Answer the following statement true (T) or false (F)
The length of time until a bond matures is called the
a. perpetuity. b. term. c. maturity. d. intermediation.
The European Union labor markets are different from that of the United States in that:
A) language adds a barrier to free movement of labor in the European Union. B) there is less labor regulation in the European Union. C) persistent unemployment exists in member countries in the European Union. D) language adds a barrier to free movement of labor in the European Union and persistent unemployment exists in member countries in the European Union.