Author Question: Reduction or elimination of dividend taxes is designed, in part, to A) reduce the double taxation ... (Read 37 times)

skymedlock · **on:** Jun 29, 2018

Reduction or elimination of dividend taxes is designed, in part, to

A) reduce the double taxation burden on individuals.
B) make rich people richer.
C) reduce inefficiencies in the production process.
D) increase corporate tax levels.

Question 2

Roses are more expensive on Valentine's Day than at other times of the year, yet sales of roses are highest on that day. How does economic theory account for this?

A) An increase in demand pushes up the market clearing price of roses.
B) People buying the roses are irrational.
C) Roses are not subject to the law of demand.
D) Florists know that there are no substitutes for roses, so they take advantage of consumers on Valentine's Day.