According to supply-side economics, lower tax rates on wages
A. have little effect on the economy.
B. generate higher revenues for the government and increased unemployment.
C. create incentives to work more, which increases real GDP.
D. are less productive than lower tax rates on consumers.
Answer: C
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Since millions of people fly with commercial airlines each year, should these aircraft manufacturers be required to incorporate every possible safety feature into the aircraft they manufacture? Should the manufacturers be allowed to incorporate no safety features? If some safety considerations are to be required, how would an economist decide on which features to include and which not to include?
Often, when no player has a dominant strategy
A) there is a dominated strategy. B) there is a chance for circular reasoning. C) then another player is needed. D) then there is a competitive market.
The slope of the budget line is determined only by the prices of the commodities purchased
a. True b. False Indicate whether the statement is true or false
An economy's standard of living grows over the long run because of:
a. better international competitiveness. b. centralized planning and decision making. c. increase in the amount and quality of resources. d. stringent foreign trade policies.