An income tax is a tax:
A. on income earned by buying investments and selling them at a higher price.
B. charged on the earnings of individuals and corporations.
C. charged on the value of a good or service being purchased.
D. on the wages paid to an employee.
Answer: B
You might also like to view...
Draw the point of consumer equilibrium from an indifference map and budget line. Explain why this is the point of optimization. Be sure your diagram is fully and correctly labeled.
What will be an ideal response?
Lack of competition in the United States banking industry can be attributed to
A) the fact that competition does not benefit consumers. B) the fact that branching has eliminated competition. C) recent legislation restricting competition. D) nineteenth-century populist sentiment.
Measured as a share of the economy, government spending
a. has been between 10 and 15 percent of the U.S. economy since 1930. b. has been between 20 and 25 percent of the U.S. economy since 1930. c. rose from less than 10 percent in 1929 to over 35 percent in 2012. d. declined from more than 50 percent in 1929 to approximately 25 percent in 2012.
If the average total cost curve is always above the demand curve of a monopolist,
a. the profits of the monopolist will be large. b. the monopolist must be producing inefficiently. c. even a monopolist will suffer economic losses. d. entry will occur, forcing the monopolist to reduce price and expand output.