The Obama administration increased the tax on the top income tax brack

The Obama administration increased the tax on the top income tax bracket from 35% to 39%.

Supply and demand analysis predicts the impact of this change was a ________ interest rate on municipal bonds and a ________ interest rate on Treasury bonds, all else the same. A) higher; lower
B) lower; lower
C) higher; higher
D) lower; higher

ANSWER

D