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The Economy-Wide Marginal Tax Rate Is

Question 190

Multiple Choice

The economy-wide marginal tax rate is


A) the amount by which taxes fall when income increases by $1.
B) the amount by which income falls when taxes increase by $1.
C) the amount by which income decreases when taxes increase by $1.
D) the amount by which taxes increase when income increases by $1.
E) currently 15%.

Correct Answer:

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