Ralph earns $40,000 per year. According to the income tax schedule, he must pay $4,000 in income taxes this year. If he had earned $50,000 his tax liability would have been $6,000. What marginal tax rate does Ralph face?
A. 10 percent
B. 12 percent
C. 20 percent
D. 66 percent
C. 20 percent
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Low-income countries are classified as having
a. less than $1,025 per capita income. b. less than $5,000 per capita income. c. less than $9,190 per capita income. d. less than $12,475 per capita income.
Naomi Burko, who is a dairy farmer in Tigerton, Wisconsin, became unemployed because fewer and fewer people, concerned about their health, consumed butter. Naomi can best be described as
a. frictionally unemployed b. structurally unemployed c. cyclically unemployed d. not part of the labor force e. a discouraged worker
A firm's isocost line shifts parallel outward from the original isocost line as its
A. total cost for capital and labor increases. B. total cost for capital decreases and its total cost for labor increases. C. total cost for capital and labor decreases. D. total cost for capital increases and its total cost for labor decreases.
If the price of a good increases by 10% and the quantity demanded decreases by 5%, then at that price, the good is
A. perfectly inelastic. B. perfectly elastic. C. elastic. D. inelastic.