It is easy to define income for tax purposes. a. True b. False
It is easy to define income for tax purposes. a. True b. False ANSWER b
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Date: September 9th, 2020
Microeconomics
The decline in the percentage of the federal government’s budget devot
The decline in the percentage of the federal government’s budget devoted to national defense is evidence of the lack of new demand for U.S. military activity. a. True b. False ANSWER b
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Date: September 9th, 2020
Assuming that progressive taxation is desirable, a consumption tax cal
Assuming that progressive taxation is desirable, a consumption tax calculated by subtracting saving from income would be preferable to a general sales-based consumption tax. a. True b. False ANSWER a
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Date: September 9th, 2020
What is one of the most important benefits of the Internet? A) The In
What is one of the most important benefits of the Internet? A) The Internet has increased asymmetric information. B) The Internet has reduced asymmetric information. C) The Internet has increased moral hazard. D) The Internet has increased transaction costs. ANSWER B
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Date: September 9th, 2020
The CB radio was very popular in the 1970s and 1980s for communicating
The CB radio was very popular in the 1970s and 1980s for communicating while driving. People bought them because other drivers had them too and they could therefore talk with many others on their trips. This illustrates A) that the demand curve for CB radios was inelastic. B) the network effect. C) that CB radios […]
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Date: September 9th, 2020
Conscription is a more advantageous way to obtain military personnel w
Conscription is a more advantageous way to obtain military personnel when _____. a. expenditures on welfare are low b. the conscripted are paid the same as a volunteer army c. the army is large relative to the size of the civilian population d. the country is a dictatorship ANSWER c
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Date: September 9th, 2020
In contrast to a monopoly which misallocates resources by restricting
In contrast to a monopoly which misallocates resources by restricting output and producing too little, government bureaus misallocate resources by _____. a. producing too little b. producing too much c. producing the right amount but charging nothing for the output d. producing zero ANSWER b
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Date: September 9th, 2020
Recently, many cities have attempted to pass laws taxing the sale of s
Recently, many cities have attempted to pass laws taxing the sale of sugary drinks such as soda pop. If one of these laws passes, we would expect A) the supply curve for soda pop to shift to the right. B) the supply curve for soda pop to become more vertical. C) the demand curve for […]
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Date: September 9th, 2020
The only way that consumption can be taxed is through a general sales
The only way that consumption can be taxed is through a general sales tax. a. True b. False ANSWER b
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Date: September 9th, 2020
John derives more utility from having $1,000 than from having $100. Fr
John derives more utility from having $1,000 than from having $100. From this, we can conclude that John A) is risk averse. B) is risk loving. C) is risk neutral. D) has a positive marginal utility of wealth. ANSWER D
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Date: September 9th, 2020