The relationship between tax rate and income which is relevant to a proportional tax is depicted by?
A. curve Z and Y B. curve X C. curve Z D. curve Y Correct Answer: Option D = curve Y
The relationship between the tax rate and income which is relevant to progressive tax is shown by?
A. curve X B. curve Y C. curve Z D. curve X and Z Correct Answer: Option B = curve Y
Which of the following is likely to be inflationary?
A. taxes increase B. increase in unemployment C. budget surplus D. wages increase Correct Answer: Option D = wages increase Explanation Increment in wages and salaries will lead to inflation. This happens when business owners raise the minimum wage, leading to a...
Which of the following rewards is associated with entrepreneurship
A. salaries B. profits C. interest D. rent Correct Answer: Option B = profits Explanation The reward for entrepreneurship is profit. Profit is described as the financial benefit gotten when the revenue generated from a business activity exceeds the expenses, costs,...
The law of diminishing marginal utility indicates that if a consumer increases his consumption of a commodity continously
A. total utility must fall B. marginal utility must fall C. marginal utility may rise D. marginal utility may fall even though his total utility may be rising Correct Answer: Option B – marginal utility must fall Explanation The law of diminishing marginal...Products
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