Question 10

Since 2004, the highest personal income tax bracket has been

1. 10%.
2. 15%.
3. 28.0%.
4. 35.0%.
5. 39.6%.

Question 11

Characteristics of public goods and services include which of the following?

1. The demand for these goods and services is divisible on the basis of individual quantity demanded
2. The supply of these goods and services is generally not divisible into small units
3. These goods and services are easily provided by the market system
4. The costs of these goods fall on individuals other than the buyer
5. None of the above

Question 12

A progressive tax rate means that the ratio of tax collections to income

1. falls as income rises.
2. rises as income rises.
3. remains the same as income rises.
4. either (a) and (b).
5. may fall, rise, or remain the same as income rises.

Question 13

The fears of people concerning distribution of taxes are related to

1. equity or justice in taxation.
2. ample evidence that there are tax inequities in the tax system at all levels of government.
3. the complete lack of understanding that people have about the purpose of taxes.
4. both (a) and (b).
5. all of the above.

Question 14

The fears of people concerning the size of government are

1. always without any foundation.
2. well-founded in some instances and not well-founded in some instances.
3. difficult to appreciate.
4. due to low income and low educational levels of many people.
5. based solely on economic efficiency.

Question 15

The US federal personal income tax is an example of a(n)

1. regressive tax rate structure.
2. proportional tax rate structure.
3. progressive tax rate structure.
4. more regressive than proportional tax rate structure.
5. Equitable tax rate structure.