Qualification > Commerce
ALL ECONOMICS DISCUSSION, PAPERS HELP HERE!!
elemis:
High taxes on cars will RAISE the PRIVATE COSTS of car owners. HOWEVER, if the costs of drviing a car RISE wouldnt you consider riding a bus instead ? It would be cheaper.
Thus, more people may choose to ride a bus or use their car less of the time. Hence, car pollution will fall and external benefits will RISE.
That is, you and me will benefit from the reduced car pollution.
This is from before and applies now to this question.
elemis:
--- Quote from: aangel42 on June 10, 2010, 06:50:24 pm ---A country has different rates of income tax depending on the level of income earned.
The highest rate of income tax is cut from 40 % to 38 %.
From this statement it can be deduced that taxation will become
A less indirect.
B less progressive.
C less regressive.
D more difficult to evade.
--- End quote ---
Income tax is ALWAYS progressive in nature. By reducing the percentage of income tax a lower amount of the HIGHER INCOME group's income will be taken away as tax.
Using this A, C and D are wrong. Leaving only B
elemis:
aangel this will be the last question I answer - I have to go to sleep now ;)
Give me a few miutes.
elemis:
Okay, the gov. set a price at a point such that PRICES would rise as a result of this new MAX PRICE.
Now if prices ROSE the new MAX PRICE set by the gov must be ABOVE the current market price.
SO demand and supply will change as shown.
The blue lines show how demand shifted outwards and suply shifted inwards in order to conform to the PRICE RISE that was seen.
Freaked12:
Any more questions.
?
Anyone
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