Multiple Choice
Suppose a country imposes a lump-sum tax of $5,000 on each individual in the country. What is the marginal income tax rate for an individual who earns $40,000 during the year?
A) 0%
B) 10%
C) More than 10%
D) The marginal tax rate cannot be determined without knowing the entire tax schedule.
Correct Answer:
Verified
Correct Answer:
Verified
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