Supply-side economists argue that taxing of nominal gains and interest earnings during inflationary periods
a. results in an increased effective tax rate on real returns but will not retard saving.
b. will retard saving but will not increase the effective tax rate on real returns.
c. will increase the effective tax rate on real returns and will retard saving.
d. None of the above
C
You might also like to view...
In the above figure, Brendan originally consumes at point A. If his income rises and both compact discs and haircuts are normal goods then he could begin consuming at point
A) B, C, or D. B) B. C) C. D) D.
One reason for diseconomies of scale is that, at very large scales, management systems can become
A) more efficient because they can effectively manage more workers. B) increasingly complex and inefficient. C) more numerous than the workers they manage. D) none of the above.