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The Graph Above Describes the Notion That as Tax Rates

Question 59

Multiple Choice

  The graph above describes the notion that as tax rates rise from zero percent, tax revenues will: A)  Increase at first, but then decline eventually as tax rate continues rising B)  Decrease at first, but then increase eventually as tax rate continues rising C)  Rise higher and higher D)  Fall lower and lower until it shrinks to zero The graph above describes the notion that as tax rates rise from zero percent, tax revenues will:


A) Increase at first, but then decline eventually as tax rate continues rising
B) Decrease at first, but then increase eventually as tax rate continues rising
C) Rise higher and higher
D) Fall lower and lower until it shrinks to zero

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