When the tax structure of a nation is progressive, as real incomes increase, the tax revenues of the government will
a. decline.
b. increase by the same proportion as the increase in real income.
c. increase by a larger proportion than the increase in real income.
d. remain unchanged unless legislative action is undertaken.
C
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Which of the following would not be classified as an economic resource by economists?
A. A professional soccer player. B. Water in a town's reservoir. C. Money in a business checking account. D. The manager of the local hamburger restaurant.
A country is said to enjoy a comparative advantage over another country in the production of a product if it uses fewer resources to produce that product than the other country does.
Answer the following statement true (T) or false (F)
Harry attended a baseball card show in New York City where he bought a number of rookie cards of Pittsburgh Pirates baseball players from the 1950s and 1960s
Harry then sold the cards in Pittsburgh, Harry's hometown, where he knew the cards sold for higher prices. The profits Harry earned from these transactions are called A) arbitrage profits. B) implicit profits. C) normal profits. D) accounting profits.
A sudden decrease in the U.S. price level
A) makes creditors in dollars better off. B) makes creditors in dollars worse off. C) do not affect creditors in dollars. D) makes creditors in DM better off. E) makes those with dollar debts better off.