Refer to the information provided in Table 19.8 below to answer the question(s) that follow.
Table 19.8

-Related to the Economics in Practice on page 391: Refer to Table 19.8. If income increases from $60,000 to $80,000, the marginal tax rate is

Question

Refer to the information provided in Table 19.8 below to answer the question(s) that follow.
Table 19.8
 
-Related to the Economics in Practice on page 391: Refer to Table 19.8. If income increases from $60,000 to $80,000, the marginal tax rate is

Quizplus · Accepted Answer

From the table, we can see that if income increases from $60,000 to $80,000, the tax liability increases from $10,500 to $17,500. This is an increase of $7,000, which is a 35% increase from the original tax liability of $10,500. Therefore, the marginal tax rate is 35%.

Refer to the Information Provided in Table 19