« previous next »

Author Question: Suppose that a person in the United States earns 5,000 and faces an income tax rate of 25 percent. ... (Read 57 times)

craiczarry

  • Hero Member
  • *****
  • Posts: 527
on: Jun 30, 2018
Suppose that a person in the United States earns 5,000 and faces an income tax rate of 25 percent. If that person saves 2,000 and invests it at 12 percent then he or she will pay
 
  A) less in taxes because of the saving. B) tax only on the income spent.
  C) more in taxes than if there had been no saving. D) tax only on the amount saved.

Question 2

During an economic boom, output exceeds potential output.
 
  Indicate whether the statement is true or false
Macroeconomics: Principles, Applications and Tools ¦ O'Sullivan, Sheffrin, Perez ¦ 7th Edition
Buy Test-Bank


owenfalvey

  • Sr. Member
  • ****
  • Posts: 337
Reply #1 on: Jun 30, 2018
Answer to Question 1

C

Answer to Question 2

TRUE


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Recent studies have shown that the number of medication errors increases in relation to the number of orders that are verified per pharmacist, per work shift.

Did you know?

Though newer “smart” infusion pumps are increasingly becoming more sophisticated, they cannot prevent all programming and administration errors. Health care professionals that use smart infusion pumps must still practice the rights of medication administration and have other professionals double-check all high-risk infusions.

Did you know?

Limit intake of red meat and dairy products made with whole milk. Choose skim milk, low-fat or fat-free dairy products. Limit fried food. Use healthy oils when cooking.

Did you know?

About 3% of all pregnant women will give birth to twins, which is an increase in rate of nearly 60% since the early 1980s.

Did you know?

Illness; diuretics; laxative abuse; hot weather; exercise; sweating; caffeine; alcoholic beverages; starvation diets; inadequate carbohydrate consumption; and diets high in protein, salt, or fiber can cause people to become dehydrated.

Faces Faces
When the United States gets stuck over a controversial issue—usually something a divided Congress ca When the United States gets stuck over a controversial issue—usually something a divided Congress ca
The risk of dying before the age of 65 gets lower as family income gets higher. The risk of dying before the age of 65 gets lower as family income gets higher.
Different types of fog found throughout the United States Different types of fog found throughout the United States
How the Distribution of Education Affects the Distribution of Income How the Distribution of Education Affects the Distribution of Income
Applying the bill of rights to the states Applying the bill of rights to the states
Video: Natural Selection, Species Isolation and Real World Example

For a complete list of videos, visit our video library