Which of the following transactions would take place in the underground economy?
A) Samuel tells his wife he is going to work but really goes to the local casino.
B) Tanisha bought a tablet computer for $269 but decided to sell it to her sister instead of keeping it.
C) Laurie buys a case of wine at a liquor store, not realizing that 15% of the purchase price goes to the government as tax revenue.
D) Bailey makes beef jerky and sells it at a local flea market for cash to avoid paying taxes.
D
You might also like to view...
When the exchange rate between the U.S. dollar and the euro changes from 1.30 euros per dollar to 1.00 euro per dollar the dollar has ________ and U.S. goods have become ________ to people in Europe so that quantity of U.S. dollars demanded ________
A) depreciated; cheaper; decreases B) depreciated; cheaper; increases C) appreciated; more expensive; decreases D) depreciated; more expensive; decreases E) appreciated; cheaper; increases
The zero sum fallacy refers to
a. You gaining only if someone else loses b. The allocation of the pieces of the total economic pie- if you eat the piece, I cannot consume it c. Ignores the possibility of the total pie growing itself d. All of the above