Suppose that interest income is exempted from taxation, which costs the Treasury $100 billion in tax revenues, while at the same time transfer payments are reduced by $100 billion
Together, these two changes in fiscal policy ________ national saving while moving the distribution of income toward greater ________ . A) reduce, equality
B) reduce, inequality
C) increase, equality
D) increase, inequality
E) do not affect, equality
D
Economics
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Forgetting about the money that's irretrievably gone and instead focusing on the marginal costs and benefits of future options, is the lesson of which of the following?
A. Marginal utility B. Sunk costs C. Marginal analysis D. Budget constraints
Economics
A good or service that is forgone by choosing one alternative over another is called a(n):
a. explicit cost. b. opportunity cost. c. historical cost. d. accounting cost.
Economics