Which of the following would cause income to become more unequal ?

Related Mcqs:

1. The World Bank’s GNP per capita classification for low income middle income and high income countries respectively is ?

   A. less than $900, $900-$9000 and more than $9000
   B. less than $5000, $5000-$15000 and more than $15000
   C. less than $100, $100-$1000 and more than $1000
   D. less than $5000, $5000-$150000 and more than $150000

2. A tax for which high income taxpayers pay a smaller fraction of their income than do low income taxpayers is known as ?

   A. a proportional tax
   B. a regressive tax
   C. an equitable tax
   D. a progressive tax

3. If the income tax rate changes from 30% to 40% on income over Rs30,000 and a person’s income is Rs 31,000 then her marginal tax rate is ?

   A. 30%
   B. 10%
   C. 70%
   D. 40%

4. Which is most likely to cause a more even distribution of income ?

   A. An increase in indirect taxes
   B. An increase in managers salaries
   C. An increase in progressive taxation
   D. An increase in the rate of inflation

5. Which is most likely to cause a more even distribution of income ?

   A. An increase in indirect taxes
   B. An increase in managers salaries
   C. An increase in progressive taxation
   D. An increase in the rate of inflation

6. Which of the following are low income countries income country ?

   A. Canada
   B. United States
   C. Mexico
   D. Australia

7. Which of the following is true with regard to a tax on labor income? Taxes on labor income tend to encourage ?

   A. the unscrupulous to enter the underground economy
   B. the elderly to retire early.
   C. all the things described in these answers.
   D. second earners to stay home.
   E. workers to work fewer hours

8. Mariam earns more than Seamus and she came by her income fairly and honestly which of the following political philosophies would argue against the redistribution of income from Mariam to Seamus ?

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

9. Gross National income is always more than Net National income because it includes ?

   A. Foreign income
   B. Capital consumption allowance
   C. Indirect taxes
   D. Direct taxes

10. Engineers for the All-Terrain Bike Company have determined that a 15% increase in all inputs will cause a 15% increase in output Assuming that input prices remain constant, you correctly deduce that such a change will cause ________ as output increases?

    A. average costs to remain constant
    B. average costs to decrease
    C. average costs to increase
    D. marginal costs to increase