In many countries, income earned from financial investments is taxed at a higher rate than income earned from employment. What might explain this? * The marginal utility from employment dollars is greater than that from investment dollars. The marginal utility from employment dollars is less than that from investment dollars. None of the above. The consumer surplus derived from employment income is greater than that from investment income. The consumer surplus derived from employment

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Comparative Advantage and Absolute Advantage Analysis

The theory of absolute advantage was given by Adam Smith in the year 1776.