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NeX [460]
3 years ago
12

A personal tax cut of $50 billion will affect income differently than an increase in government spending by $50 billion because:

Business
1 answer:
Bess [88]3 years ago
8 0

Answer:

C) Households may save part of the additional income from the tax cut

Explanation:

When we consider the total household income there is always a major part that is spent, this is called propensity to consume. It is defined as the proportion of total income that consumers are willing to spend.

But propensity to consume doesn't include 100% of household income, there also exists the propensity to save. That is the exact opposite, is the proportion of our income that we will save for future use.

Luckily for us all, the propensity to spend is usually much higher than the propensity to save. We have to remember that private consumption represents nearly 70% of the nation's GDP.

What households save goes to investment in GDP. Investment is always needed but it represents future growth of the GDP while consumption represents current growth of the GDP.

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Choose the answer for the three drop-down menus in the picture
Natali5045456 [20]

Answer:

1. conservatively

2. elevator pitch

3. Smile

Explanation:

You want to dress formally at an interview not casual. An elevator pitch is where you briefly try to sell yourself, in this case you would want to sell yourself to the employer to showcase your qualifications so they hire you. Joking may not be appropriate at an interview but smiling makes you come off as nice.

3 0
3 years ago
Read 2 more answers
Excise taxes on gasoline and state sales taxes are often criticized for being regressive, even though everyone pays the same tax
romanna [79]

Answer:

Yes because a person with a lower income may tend to spend a greater share of his income on gasoline

Explanation:

For example, if a low income individual earning $1000 and a high-income person who earns $2000 each purchase 12 gallons of gasoline, the taxes on this purchase will consume a larger portion of the low-income person’s earnings than that of the high-income person. Assuming a tax rate of 5% of earnings multiplied by 12 Gallons.

Low income individual earnings after tax deductions= $400

High income individual earnings after tax deductions= $800

3 0
3 years ago
On July 1 of year 1, Elaine purchased a new home for $665,000. At the time of the purchase, it was estimated that the property t
tamaranim1 [39]

Answer:

The amount of real property taxes that Elaine is allowed to deduct for year 1 is $7150.

Explanation:

Elaine started living in the new home from July, which means that she has been living there for 6 months ( as per current date). But at the time when she purchased the house the total amount of property tax was $13,300 and now it is $14,300.

Since last 6 months she has been living in that home, and current property tax is $14,300 , that means now she is allowed a 50% deduction on the property taxes ,

$14,300 / 2 = $7150

Therefore Elaine is allowed $7150 as amount of deduction on property tax.

5 0
3 years ago
According to libertarians, the government should redistribute income from rich individuals to poor individuals to achieve a more
devlian [24]

Answer:

b. False

Explanation:

In the United States of America, the libertarians refers to a group of people or individuals who have the philosophical views of promoting individual freedom and liberty among the people. Thus, the primary political strength, values and ideas of a libertarian is individual freedom and liberty.

Saying libertarians wants the government to redistribute income from rich individuals to poor individuals to achieve a more equal distribution of income is a false statement because the libertarians simply cares about the means being just but not concerned about the outcome of a process or event.

3 0
3 years ago
Assume the football team is set up as a C corporation and that Lenny, Sarah, and Sam are the shareholders. The team is sued for
blagie [28]

Answer:

The answer is option A) The corporation may have liability, but not the individual owners.

Explanation:

The corporation may have liability, but not the individual owners because it is a C Corporation.

A C Corporation legally separates owners' or shareholders' assets and income from that of the corporation. This helps to limit the liability of investors and firm owners since the most that they can lose in the business's failure is the amount they have invested in it.

So, even if the team get sued for negligence because an individual who turned to see the quarterback running naked crashed her car, the corporation will have liability.

4 0
3 years ago
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