Suppose the tax rate on the first $10,000 income is 0 percent; 10 percent on the next $20,000; 20 percent on the next $20,000; 30 percent on the next $30,000; and 40 percent on any income over $80,000. Family A has income of $40,000 What is the marginal and average tax rate for Family A?
A) marginal—10 percent; average—10 percent
B) marginal—20 percent; average—10 percent
C) marginal—25 percent; average—20 percent
D) marginal—20 percent; average—25 percent
B
Economics
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When the nominal rate of interest and the rate of inflation are the same, the real interest rate is zero
Indicate whether the statement is true or false
Economics
A perfectly competitive firm is producing 50 units of output and selling at the market price of $23. The firm's average total cost is $20. What is the firm's economic profit?
A) $23 B) $150 C) $1,000 D) $1,150 E) $50
Economics