Suppose that in the economy of Boise, Amy earns an income of $50,000 a year and pays $10,000 in income taxes; Bailey earns an income of $25,000 a year and pays $8,000 in income taxes. Based on this information, we could say that Boise's tax system is

Refer to Figure 21.1. If Area I = 1,700 and Area J = 3,300, what is the Gini coefficient?

A) 0.17 B) 0.34 C) 0.52 D) 2.94

If the price level is increasing and output is falling, which of the following could be the reason?

a. A negative demand shock b. A positive supply shock c. A positive supply shock combined with a positive demand shock d. A negative supply shock e. A positive demand shock