Which of the following statements do economists generally disagree on?a) At an average tax rate of 50%, tax revenues are maximized for a government.b) No tax revenues would be collected when average tax rates are 100%.c)At very high average tax rates, increasing tax rates further would decrease taxrevenues.d) No tax revenues would be collected when average tax rates are 0%.

The objective of the question is to identify the statement that economists generally disagree on…

Answered: Which of the following statements do…

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter16: The Public Sector

Section: Chapter Questions

Problem 7SQ

See similar textbooks

Similar questions

1) Suppose the figure represents the Laffer Curve for income taxes on high-income earners. If the tax rate on high-income earners is 55% a) marginal tax revenue will increase if tax rates are increased. b) marginal tax revenue is negative. c) the tax rate is optimal. d) marginal tax revenue is positive. 2) Suppose the figure represents the Laffer Curve for income taxes on high-income earners. Which of the following best explains the shape of the Laffer Curve? a) As tax rates rise, individuals work the same amount but conceal more income from tax authorities. b) As tax rates rise, individuals work the same amount and the same amount of income is available to tax. c) As tax rates rise, individuals work more and more income is available to tax. d) As tax rates rise, individuals work less and less income is available to tax
There is an _________ relationship between tax rate and supply of a good
Which one of the following statements is TRUE? In a proportional tax system, the marginal tax rate always exceeds the average tax rate. In a proportional tax system, the average tax rate always exceeds the marginal tax rate. The U.S. Social Security tax is regressive. The U.S. Social Security tax is proportional.
Why will direct taxes increase faster than per capita income?
If low-income families pay 10% of their income in taxes while high-income families pay 20% of their income in taxes, the tax system is which of the following? Group of answer choices Unfair Regressive Excessive Proportional Progressive
(1) Tax system contributes to reduce inequality and control consumption-Explain in your own words.
A CBO study estimated that the excess burden from the corporate income tax ________ of the revenues raised by the tax. This estimate would make the corporate income tax ________ imposed by the federal government. A) equals less than 3 percent; the most efficient tax B) equals less than 10 percent; one of the most efficient taxes C) equals more than 90 percent; the most inefficient tax D) could equal more than half; one of the most inefficient taxes Only typed answer and don't use chat gpt
15. Which of the following is a congressional position or organization? the Department of the Treasury comptroller Budget Oversight Committee the United States Office of Management and Budget (OMB)
Which of the following is true of indirect business taxes? a) They are included in corporate profits. b) They are not included in the GDP. c) They reduce the value of total economic output thereby reducing the value of the GDP. d) They are collected by business firms that act as agents for the government. e) They are the same as personal income taxes.
What would it take to convert a sales tax into a true consumption tax? Senator Smith has suggested that the U.S. federal income tax is a more efficient form of tax than the Texas sales tax. What are the arguments for and against this position?
According to the textbook, which of the following statements is (are) correct?(x) As a nation gets richer, the government typically takes a larger share of income in taxes. (y) In 1902 the government (federal, state and local) in the U.S collected about 7 percent of total income in taxes and in current times, it collects around 26 percent of income in taxes (z) In the early 2000s, the U.S had a larger tax burden, as a percent of income, then all of the major economies in Europe. (x), (y) and (z) (x) and (y) only (x) and (z) only (y) and (z) only (z) only
Refer to Figure 8-2. The amount of tax revenue received by the government is a) $4. b) $9. c) $2.50. d) $5.

SEE MORE QUESTIONS

Recommended textbooks for you

Survey Of Economics

Economics

ISBN:

9781337111522

Author:

Tucker, Irvin B.

Publisher:

Cengage,

Economics For Today

Economics

ISBN:

9781337613040

Author:

Tucker

Publisher:

Cengage Learning

MACROECONOMICS FOR TODAY

Economics

ISBN:

9781337613057

Author:

Tucker

Publisher:

CENGAGE L

Survey Of Economics

Economics

ISBN:

9781337111522

Author:

Tucker, Irvin B.

Publisher:

Cengage,

Economics For Today

Economics

ISBN:

9781337613040

Author:

Tucker

Publisher:

Cengage Learning

MACROECONOMICS FOR TODAY

Economics

ISBN:

9781337613057

Author:

Tucker

Publisher:

CENGAGE L

Economics: Private and Public Choice (MindTap Cou…

Economics

ISBN:

9781305506725

Author:

James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Publisher:

Cengage Learning

Macroeconomics: Private and Public Choice (MindTa…

Economics

ISBN:

9781305506756

Author:

James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Publisher:

Cengage Learning

Microeconomics: Private and Public Choice (MindTa…

Economics

ISBN:

9781305506893

Author:

James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS