A 10 percent tax is going to be applied to a $100,000 tax base. What can be said about the revenue collected assuming dynamic tax analysis?
A. The total revenue will be zero.
B. The total revenue will be between $0 and $10,000.
C. The total revenue will be $10,000.
D. There is not enough information to determine what revenues will equal.
Answer: B
You might also like to view...
In the range of increasing marginal returns, total product is
a. increasing at a constant rate b. increasing at an increasing rate c. increasing at a decreasing rate d. decreasing at an increasing rate e. decreasing at a decreasing rate
The quantity of aggregate output demanded will fall if
A. the price level increases. B. net taxes are reduced. C. government spending increases. D. Aggregate supply increases.
The relationship depicted in the above figure is
A) a negative linear relationship B) a positive linear relationship C) a positive becoming less steep relationship D) a positive becoming steeper relationship
The study of decision making that assumes people are rational in a broad sense, even if they do not have complete and perfect information is called _____
a. rational economics b. reasonable economics c. understandable economics d. behavioral economics e. optimal economics