The negative effect on the economy that occurs when average tax rates increase because taxpayers have moved into higher income brackets during an expansion is ?

Related Mcqs:

Automatic stabilisers act to ____ government expenditures and ____ government revenues during recessions ?

A. increase: increase B. decrease; decrease C. increase; decrease D. decrease; increase...

Time lags which often erode effectiveness of monetary and fiscal policy measures represent ?

A. delays in the response of the economy is stabilization policy B. the foreign response to price changes C. the change in exports and imports prices D. the change in exchange rates...

Automatic stabilizers act to ______ government expenditures and _______ government revenue during an expansionary period?

A. increase; increase B. decrease; increase C. increase; decrease D. decrease; decrease...

The budget deficit tends to decrease then ?

A. GDP decrease rapidly B. GDP remains unchanged C. GDP decrease slightly D. GDP increase...

In a regressive tax system ?

A. The amount of tax paid increase with income B. The marginal rate of tax decrease with more income C. The average rate of tax falls as income increase D. The average rate of tax is constant as income increases...