-In the above figure, if the tax rate is increased from 20 percent to 30 percent, tax revenue
A) increases.
B) may increase or decrease.
C) is constant.
D) decreases.

Name: -In the above figure, if the tax rate is increased from 20 percent to 30 percent, tax revenue A) increases. B) may increase or decrease. C) is constant. D) decreases.
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Question

-In the above figure, if the tax rate is increased from 20 percent to 30 percent, tax revenue
A) increases. 
B) may increase or decrease. 
C) is constant. 
D) decreases.

Quizplus · Accepted Answer

When the tax rate increases, the tax revenue increases because the government collects more money from each unit of goods and services sold.

-In the Above Figure, If the Tax Rate Is Increased