Over time, a country's real GDP per capita typically

A regressive tax is a tax for which people with lower incomes

A) pay the same percentage of their incomes in tax as do people with higher incomes. B) do not have to pay unless their incomes exceeds a certain amount. C) pay a lower percentage of their incomes in tax than do people with higher incomes. D) pay a higher percentage of their incomes in tax than do people with higher incomes.

Which of the following do firms take advantage of to maintain high profits?

A. People tend to gravitate toward the default option. B. The government only fines companies that have over $2 million in sales each year. C. There is relatively little government oversight in the marketplace. D. People are unaffected by default options.