Fixed exchange rates give countries too much freedom over their monetary policies, thereby threatening higher rates of inflation.
a. True
b. False
Indicate whether the statement is true or false
Question 2
A flat tax:
a. is designed so that everybody would pay the same number of dollars in taxes.
b. is designed in such a way that as a person's income rises, the tax rate falls.
c. is designed so that everybody would be charged the same percentage of their income.
d. is designed to take a smaller percentage of higher incomes as compared to lower incomes.
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