Question 1
Which of the following is correct regarding tax revenues?
◦ They increase during recessions.
◦ They do not change with changes in the tax rate.
◦ They are the only revenue source in the government's budget.
◦ They decrease during economic slowdowns.
Question 2
Disposable income
◦ decreases when net taxes decrease.
◦ decreases when income decreases.
◦ increases when saving decreases.
◦ All of these