Explain why purchasing power parity measures of income levels tend to show a smaller difference between poor and rich countries
What will be an ideal response?
PPP measures show the number of units of developing country currency required to purchase a basket of goods and services in the developing country market that costs
one dollar in the U.S. Prices for most services tend to be much cheaper in developing countries than in the U.S.
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Which of the following best represents an indirect tax?
A) federal income tax B) state income tax C) local property tax D) sales taxes paid on goods and services
Voters may be rationally ignorant about political issues because they:
a. don't realize how much they benefit from voting b. underestimate the effect of their one vote c. believe that the cost of gaining the information is greater than the benefit of having the information d. all of the above