If the government could borrow as much as it liked with a 0 percent interest rate, would the government debt be cost-free? C) It would still carry indirect costs of higher market interest rates due to a higher volume of borrowing. C) It would be reduced over time. Q It would be costfree. C) It would be eliminated. Which of the following statements is true? 0 "ax revenues refer to the percentage of income that is taxed, whereas tax rates refer to the dollars collected by government in taxes. 0 "ax rates refer to the percentage of income that is taxed, whereas tax revenues refer to the dollars spent by government. 0 "ax rates refer to the percentage of income that is taxed, whereas tax revenues refer to the dollars collected by government in taxes. O "ax rates refer to the income that is taxed, whereas tax revenues refer to the dollars collected by government in taxes. When counteracting a recession, tax rates should be: 0 increased through fiscal policy and this action will reduce tax revenues. 0 decreased through scal policy and this action will increase tax revenues. 0 increased through fiscal policy, but tax revenues automatically change without government action. 0 reduced through scal policy, but tax revenues automatically change without government action. Typically, during a recession; 0 tax revenues fall as unemployment rises, and income falls. 0 tax rates fall as unemployment falls, and income rises. 0 tax rates fall as unemployment rises, and income falls. 0 tax revenues fall as unemployment falls, and income rises