Compute the tax rates for the three taxpayers shown in Table 33.1. Then use the table to answer the indicated question.TaxpayerIncome (Dollars)Taxable Income (Dollars)Taxes Paid (Dollars)Effective Tax Rate(Percent)Nominal Tax Rate(Percent)1$200,000$100,000$6,000________%________%2100,00080,0008,000________%________%360,00048,00012,000________%________%In Table 33.1, the effective tax rate for taxpayer 3 is
A. 20.0 percent.
B. 5.0 percent.
C. 25.0 percent.
D. 8.0 percent.
Answer: A
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The above figure shows the marginal social benefit and marginal social cost curves of coffee in the nation of Kaffenia. When 400 pounds of coffee are produced and consumed in Kaffenia each day, that is
A) more efficient than when 300 pounds are produced and consumed because more is always better than less. B) inefficient because the marginal social benefit exceeds the marginal social cost. C) inefficient because the marginal social cost of the 400th pound exceeds its marginal social benefit. D) inefficient because the opportunity cost of producing more coffee exceeds its marginal social benefit.
The most vocal political pressure for tariffs is generally made by
A) consumers lobbying for export tariffs. B) consumers lobbying for import tariffs. C) consumers lobbying for lower import tariffs. D) producers lobbying for export tariffs. E) producers lobbying for import tariffs.
Paper money in the United States is in the form of
a. treasury notes b. Federal Reserve notes c. silver certificates backed by silver d. gold certificates backed by gold e. U.S. bank notes
Which of the following best exemplifies a failure of market outcome?
A. Adults with emphysema find it difficult to quit smoking even though they know that smoking worsens their health and they want a long life. B. Some people can enjoy the use of a public park without paying for it. C. Secondhand smoke can put the health of children at risk. D. Consumers often don't know as much about the car they are buying than the person selling the car does.