The increase in the amount that the government collects in taxes when the economy expands and the decrease in the amount that the government collects in taxes when the economy goes into a recession are examples of

In designing a tax system, policymakers have two objectives that are often conflicting. They are

a. maximizing revenue and minimizing costs to taxpayers. b. efficiency and minimizing costs to taxpayers. c. efficiency and equity. d. maximizing revenue and reducing the national debt.

If Bert has budget constraint A in the graph shown, what is his opportunity cost of three gallons of milk?

This graph shows three different budget constraints: A, B, and C.



A. Twelve cases of soda
B. Eight cases of soda
C. Four cases of soda
D. It is impossible to say without knowing Bert's income.