In 2010 the federal government reduced the Social Security tax withholding rate from 12.4 percent (6.2 percent on both the employer and employee) to 8.4 percent (4.2 percent on both the employer and employee) on the wages of all workers. If the tax were redefined such that the entire 12.4 percent was statutorily levied on employers, economic analysis suggests that the actual burden of the tax
would
a. remain unchanged.
b. shift more heavily toward employers.
c. shift more heavily toward employees.
d. be different than if the entire 12.4 percent was statutorily imposed on employees.
A
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What was the official policy of the British colonies toward the practice of "squatting," or freely settling and cultivating the land?
(a) Squatting was encouraged as a way to promote settlement of the land. (b) Colonial officials discouraged squatting because the indigenous populations legally owned land. (c) There was no policy toward the practice of "squatting"; it was left to the individual settlers. (d) The official policy opposed squatting because it did not involve a formal transfer of ownership.
The uncertainty about the return an asset will earn is
A. liquidity. B. time to maturity. C. risk. D. stochastic dominance.