If a natural disaster were to cause a negative long-run supply shock to the economy, once the economy adjusts, the new equilibrium will be at a:
A. higher price level and lower level of output.
B. lower price level and lower level of output.
C. higher price level and higher level of output.
D. lower price level and higher level of output.
Answer: A
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The type of tax receipts that has shown the largest growth since the end of World War II has been
A) personal taxes. B) contributions for social insurance. C) taxes on production and imports. D) corporate taxes.
Which of the following statements is true?
a. The most important source of revenue to the federal government is personal income taxes. b. The most important source of revenue to state governments are sales and property taxes. c. The most important source of revenue to local governments are local property taxes. d. The taxation burden, measured by taxes as a percentage of GDP, is lighter in the United States than in most other advanced industrial countries. e. All of these.