=+a. Consider a household with an income of $200,000 that faces a tax rate of 40%, and
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=+a. Consider a household with an income of $200,000 that faces a tax rate of 40%, and suppose the price of a square foot of housing is $50 per year. With square footage of housing on the horizontal axis and other consumption on the vertical, illustrate this household’s budget constraint with and without tax deductibility. (Assume in this and the remaining parts of the question that the tax rate cited for a household applies to all of that household’s income.)
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Microeconomics An Intuitive Approach With Calculus
ISBN: 9781337335652,9781337027632
2nd Edition
Authors: Thomas Nechyba
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