Economist B believes that if tax rates are cut, tax revenue is likely to fall.  This economist most likely believes that the percentage decrease in tax rates will ______________________________ percentage rise in the tax base

Q: Suppose that the typical Canadian spends 80 percent of their income. There is an income tax rate is…

A: The tax multiplier helps to measure how the change in taxes will alter GDP. The consumer spending…

Q: Answer all the questions! 1. What has been the relationship over the past century between the…

A: The term "government revenue" describes the funds that a government receives from a variety of…

Q: Your Finance Minister considers making a tax reform. He asks you, as a senior tax administrator, to…

A: There are five basic requirements that must be satisfied by a good tax system : Fairness Adequacy…

Q: consumers increased consumption by a relatively small amount in 2008 and 2009 because thet believe…

A: This is explained by the permanent income hypothesis which implies that people will spend money…

Q: digital tax

A: The digital service tax(DST) is a type of tax imposed on the total revenue(TR) earned by the…

Q: What would it take to convert a sales tax into a true consumption tax? Senator Smith has suggested…

A: A tax on products and services that are consumed or used by people or households is known as a…

Q: why is the tax rate 6?

A: A pigouvian tax will be optimal when it is set equal to marginal social pollution cost at the…

Q: Define Taxation What is Income tax What is a value-added tax What is Sales tax What is an excise…

A: Taxation is the practice of levying fees on people or entities in order to raise money for the…

Q: 1st statement – The Legislative Department levies the taxes. 2nd statement – The Executive…

A: In an economy, the government is one that has the responsibility to manage different economic,…

Q: There is an _________ relationship between tax rate and supply of a good

A: The tax imposed by the government and the subsidy lend by the government all impacts the cost of…

Q: 3)  Are excise taxes, like those on tobacco, gasoline, and alcohol, Progressive, Proportional, or…

A: Regressive tax imposes more burdens on poor households than the rich ones because it is same…

Q: Question 33 Do buyers or sellers bear more of the burden of this tax? Group of answer choices…

A: With tax of $6 per unit, quantity sold in market is 20.

Q: What is the buyers’ share of the burden of the tax _______?

A: The buyer's share of the burden of a tax depends on the elasticity of demand for the taxed good or…

Q: Describe the three distinct terms to describe the tax rates?

A: A tax is an obligatory payment made by the people towards the government in order to meet the…

Q: You are charged this tax by the federal government on your yearly pay. This is: Income Tax. Sales…

A: In the United States, federal government charges different types of taxes for different purposes…

Q: Make a graph showing the spending and tax revenue of your state government for as many years as you…

A: Answer is given below

Q: Country D experiences a recession due to a decrease in consumer confidence. There are two…

A: Decline in consumers confidence results in decline in demand for consumer goods, thus there would be…

Q: 40. The most efficient tax system has a broad tax base and a low tax rate. A) True B) False

A: Tax is a compulsory payment by the individuals and firms or businesses to the government for making…

Q: Why will direct taxes increase faster than per capita income?

A: In an economy, the government imposes taxes on the income of the people in different ways such as…

Q: According to the textbook, which of the following statements is (are) correct? (x) As a nation gets…

A: The answer is - (x) only

Q: Which of the following BEST shows fiscal policy? A The Federal Reserve buys bonds. The United States…

A: Here federal reserve open market buy operations, printing more money or increasing supply of money…

Q: 10) Fiscal policy is defined as changes in federal ________ and ________ to achieve macroeconomic…

A: Demand is the total quantity of goods and services for which the consumers are willing to pay…

Q: Refer to the following table for Waxwania: Government Expenditures, G Tax Revenues, T Real GDP $170…

A: a.  As the tax rate at every unit of Real GDP is the same, i.e. 20% of the Real GDP, therefore, the…

Q: How does tax improve one's health and what are the long term benefit to the economy?

A: Taxation is a financial system employed by governments to raise revenue from individuals,…