From the net tax function: T=t0+t1Y,where t0<0 and t1>0, it follows that, as income rises | Faculties

R

Ranjeet

🎓 Tutor III ⭐ 34.60K Points

📊 Managerial Economics

Q. From the net tax function: T=t0+t1Y,where t0<0 and t1>0, it follows that, as income rises

(A) average taxes falls and the surplus declines
(B) average taxes rises and the deficit increases
(C) average taxes falls and the deficit declines
(D) average taxes and the deficit do not change

💬 Discuss

✅ Correct Answer: (C) average taxes falls and the deficit declines

You must be Logged in to update hint/solution

💬 Discussion

📊 Question Analytics

👁️

250

Total Visits

📽️

2 y ago

Published

🎖️

Ranjeet

Publisher

📈

98%

Success Rate