« 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 97 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?

Side effects from substance abuse include nausea, dehydration, reduced productivitiy, and dependence. Though these effects usually worsen over time, the constant need for the substance often overcomes rational thinking.

Did you know?

Disorders that may affect pharmacodynamics include genetic mutations, malnutrition, thyrotoxicosis, myasthenia gravis, Parkinson's disease, and certain forms of insulin-resistant diabetes mellitus.

Did you know?

The longest a person has survived after a heart transplant is 24 years.

Did you know?

Prostaglandins were first isolated from human semen in Sweden in the 1930s. They were so named because the researcher thought that they came from the prostate gland. In fact, prostaglandins exist and are synthesized in almost every cell of the body.

Did you know?

Allergies play a major part in the health of children. The most prevalent childhood allergies are milk, egg, soy, wheat, peanuts, tree nuts, and seafood.

Infants often rely on a caregiver as a secure base when they meet a new person. Infants often rely on a caregiver as a secure base when they meet a new person.
Women who are 65 and older have a lower median income from all sources than men in the same age ... Women who are 65 and older have a lower median income from all sources than men in the same age ...
Global Stratification: Income of the World's Nations Global Stratification: Income of the World's Nations
Daily Calorie Intake from Sugar Drinks, United States, 2005–2008 Daily Calorie Intake from Sugar Drinks, United States, 2005–2008
Regional Variation in Income and Access to the Sea Regional Variation in Income and Access to the Sea
Gypsy moths native to Europe and Asia feed on oaks through much of the United States. Gypsy moths native to Europe and Asia feed on oaks through much of the United States.
Video: How proteins function? How do proteins work?

For a complete list of videos, visit our video library