An income tax is defined as regressive if
a. the tax liability of those with higher incomes exceeds the tax liability of those with low incomes.
b. the tax liability of those with higher incomes is less than the tax liability of those with low incomes.
c. those with higher incomes pay a higher percentage of their incomes in taxes than those with low incomes.
d. those with higher incomes pay a lower percentage of their incomes in taxes than those with low incomes.
D
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The quantity of employment is determined in the ________ market and that quantity, along with the ________, determines potential GDP
A) labor market; tax rate B) loanable funds; production function C) goods and services; labor market D) labor market; tax wedge E) labor market; production function
The U.S. tax system at both the federal and state levels is ________
A) regressive B) proportional C) progressive D) negative
The price of cabbage rises from $0.20 per pound to $0.30 per pound. The quantity of cabbage demanded falls from 800 pounds per week to 600 pounds per week. Use the midpoint formula to calculate the price elasticity of demand for cabbage
Is the demand elastic, inelastic, or unit elastic?
The largest liability on the balance sheet of most banks is its
A) loans. B) holdings of securities. C) deposits with the Federal Reserve. D) checking account and savings account deposits of its customers. E) vault cash.