Author Question: Refer to the table above. If Jack has an annual income of 50,000 and Jill earns 77,500, which of the ... (Read 55 times)

KimWrice · **on:** Jun 29, 2018

Refer to the table above. If Jack has an annual income of 50,000 and Jill earns 77,500, which of the following is true?

A) Jack and Jill pay an equal amount of tax.
B) The average rates of tax paid by Jack and Jill are equal.
C) The marginal tax rate for Jack is higher than the marginal tax rate for Jill.
D) Jack and Jill fall in the same tax bracket.

Question 2

If the unemployment rate is less than the natural unemployment rate, then

A) there is no frictional unemployment.
B) cyclical unemployment is greater than zero.
C) real GDP is less than potential GDP.
D) real GDP is greater than potential GDP.
E) frictional unemployment is negative.