If the price of paint increases, the substitution effect will cause
a. people to paint their homes more often
b. people to use more paint than they did before
c. the quantity of paint demanded to increase
d. the quantity of paint supplied to decrease
e. people to use less paint
E
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Provide two examples of economics being used as a tool by each of a student, a business, and a government. Classify your examples as dealing with microeconomic topics and macroeconomic topics
What will be an ideal response?
One criticism of the corporate income tax is that
A) it is too regressive. B) it is too flat. C) it is so complex to administer that corporate income taxes are rarely collected by the Internal Revenue Service. D) a portion of the corporations' tax burden is passed on to consumers via higher prices for goods and services and to workers via lower wages.