The above diagram describes the notion that as tax:
A)revenues increase from zero to 100 percent, tax rates will increase from zero to some maximum level and then decline to zero.
B)rates increase from zero to 100 percent, tax revenue will increase from zero to some maximum level and decline to zero.
C)rates decrease from 100 to zero percent, tax revenue will decrease from 100 percent to a maximum level.
D)rates increase from zero to 100 percent, tax revenue will increase from zero to a maximum level.

Question

The above diagram describes the notion that as tax:
A)revenues increase from zero to 100 percent, tax rates will increase from zero to some maximum level and then decline to zero. 
B)rates increase from zero to 100 percent, tax revenue will increase from zero to some maximum level and decline to zero. 
C)rates decrease from 100 to zero percent, tax revenue will decrease from 100 percent to a maximum level. 
D)rates increase from zero to 100 percent, tax revenue will increase from zero to a maximum level.

Quizplus · Accepted Answer

The Answer of  The above diagram describes the notion that as tax:
A)revenues increase from zero to 100 percent, tax rates will increase from zero to some maximum level and then decline to zero. 
B)rates increase from zero to 100 percent, tax revenue will increase from zero to some maximum level and decline to zero. 
C)rates decrease from 100 to zero percent, tax revenue will decrease from 100 percent to a maximum level. 
D)rates increase from zero to 100 percent, tax revenue will increase from zero to a maximum level.

The Above Diagram Describes the Notion That as Tax