Refer to the table. This tax is such that the after-tax distribution of income will be:
A. more equal than the before-tax distribution.
B. less equal than the before-tax distribution.
C. distributed in precisely the same way as the before-tax distribution.
D. less than the before-tax distribution by the same percentage at each income level.
A. more equal than the before-tax distribution.
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The most profitable price for a monopolist is
A) the price at which demand is unit elastic. B) a price that maximizes the quantity sold. C) the highest price a consumer is willing to pay for the monopolist's product. D) the price for which marginal revenue equals marginal cost.
A balanced budget is present when:
a. the economy is at full employment. b. the actual level of aggregate spending equals the planned level of spending. c. public sector spending equals private sector spending. d. government revenues equal government expenditures.