High Marginal Tax Rates, Such as Those Instituted During the Great

Multiple Choice

High marginal tax rates, such as those instituted during the Great Depression, will

A) increase the incentive of people to earn.
B) lead to a proportional increase in tax revenue and a reduction in the size of the budget deficit.
C) cause people to work, earn, and invest less than would be the case if marginal tax rates were lower.
D) attract workers from other countries where tax rates are lower.