If taxes are $2,000 when income is $15,000 and they are $3,000 when income is $19,000, then the marginal tax rate is

Name: If taxes are $2,000 when income is $15,000 and they are $3,000 when income is $19,000, then the marginal tax rate is
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The marginal tax rate is calculated by dividing the change in taxes by the change in income. Here, taxes increase by $1,000 ($3,000 - $2,000) when income increases by $4,000 ($19,000 - $15,000). Thus, the marginal tax rate is $1,000 / $4,000 = 0.25 or 25%.

If Taxes Are $2,000 When Income Is $15,000 and They