2. Britain taxed windows from 1696 until 1851. Under the 17471757 tax rates, you would pay no...

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2. Britain taxed windows from 1696 until 1851. Under the 1747–1757 tax rates, you would pay no tax if your home had 0–9 windows, but if your home had 10–14 windows you would pay a tax of 6 pence per window for every window in your home.

a. In what way is the window tax similar to the U.S. income tax?

b. In what way is the window tax different from the U.S. income tax?

c. Do you think that from 1747 to 1757, the number of new homes with 9 or fewer windows increased from the pre-1747 days? Explain.

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Microeconomics

ISBN: 9781292214351

2nd Global Edition

Authors: Daron Acemoglu, David Laibson, John List

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