Multiple Choice
Which of the following might explain a decrease in national saving when the tax rate on savings is reduced?
A) its income effect on saving and its effect on the government budget
B) its income effect on saving but not its effect on the government budget
C) its effect on the government budget but not its income effect on saving
D) neither its income effect on saving nor its effect on the government budget
Correct Answer:
Verified
Correct Answer:
Verified
Q7: Which of the following reduce the incentive
Q8: Which of the following are both correct?<br>A)Data
Q9: Assuming that the substitution effect is large
Q11: U.S.public policy discourages saving because<br>A)other things the
Q13: Which of the following raise the incentive
Q14: Which of the following is correct?<br>A)No forms
Q15: Which of the following are taxed?<br>A)both corporate
Q16: Suppose the tax rate on interest income
Q17: Which of the following two effects of
Q64: A consumption tax that replaces an income