Category: Income Inequality

A. total labour cost
B. the marginal product
C. the price of the product
D. the wage rate

A. output demand
B. indirect demand
C. derived demand
D. the value of the marginal product of auto workers.

A. average tax rate
B. marginal tax rate
C. proportional tax rate
D. total tax rate

A. income effect is zero
B. substitution effect outweighs the income effect
C. income effect outweighs the substitution effect
D. income effect and the substitution effects are equal

A. leisure becomes less expensive and households buy more of it
B. leisure becomes more expensive and households buy more of it
C. leisure becomes more expensive and households buy less of it
D. leisure becomes less expensive and households buy less of it.

A. all of these answers
B. libertarianism
C. utilitarianism
D. none of these answers

A. the income is split equally between the top 20% and the rest of the distribution
B. one person has all the income and every one else has nothing
C. all the income is received by the top 20% of the income distribution
D. income is equally distributed

A. the tax rate you pay on any additional income that you earn.
B. the total amount of tax you pay divided by your total income
C. the additional tax you pay divided by your total income
D. your total income divided by the total amount of tax you pay.

A. benefits are reduced at such a high rate when recipients earn more income that there is little or no incentive to work once one is receiving benefits.
B. in order to be eligible for benefits a recipient cannot have a job
C. they make recipients more comfortable than most middle-class citizens.
D. anti-poverty programs attract naturally lazy people to begin with.

A. a higher percentage of their income in taxes then low income people
B. a lower percentage of their income in taxes than low income people
C. the same percentage of their income in taxes as low income people all the taxes in the economy.
D. all the taxes in the economy