Solved

A Marginal Tax Rate of 91% Means That

Question 111

Multiple Choice

A marginal tax rate of 91% means that:


A) total tax is calculated by taking 91% of income.
B) total tax is calculated by taking 9% of income.
C) for each additional dollar earned, only 91 cents can be used toward consumption.
D) for each additional dollar earned, only 9 cents can be used toward consumption.
E) for each additional dollar earned, 9 cents is taxed away.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents