A tax that takes a larger proportion of income from low-income groups than from high-income groups is a:
What is regressive tax.
100
laws that say that competition leads to greater economic efficiency than does monopoly.
What is antitrust laws
100
Goal is this monopoly to set price equal to average total costs so that the regulated firm receives a normal profit, fair return, P=ATC
What is natural monopoly
100
In the quintile distribution of income, the term "quintile" represents:
What is 20 percent of the income receivers.
100
What explains income inequality
What is differences in ability, education and training, preferences for market work, property ownership, and market power
200
Assume you pay a tax of $4000 on a taxable income of $24,000. If your taxable income were $30,000, your tax payment would be $5000. This suggests that the tax is:
What is proportional/flat tax
200
Tying contracts are illegal under the:
What is Clayton Act of 1914.
200
The U.S. Justice Department would most likely block a merger between:
What is any two companies in same industry that control large percentage of market
200
The Lorenz curve shows the:
What is degree of inequality in the distribution of income.
200
basic argument for income equality
What is maximizes total utility by equalizing the marginal utility of the last dollar of income received by all people.
300
A highly progressive tax takes relatively more from the rich than it does from the poor. True or False?
What is true
300
Antitrust act declared "Every contract, combination ... or conspiracy, in restraint of trade or commerce among the several states ... to be illegal"?
What is the Sherman Act
300
A market in which the entire demand for a good or service can be satisfied at the least cost by a single firm is a:
natural monopoly.
300
The Gini ratio of income inequality ranges between:
What is 0 and 1.
300
Basic argument for income inequality
What is that it is an unavoidable consequence of maintaining the economic incentives for production
400
The benefits-received principle of taxation asserts that those who benefit from the government services should pay the taxes needed to finance them True or false?
What is true
400
A function of the Federal Trade Commission is to:
What is investigate instances of faulty and misleading advertising.
400
A merger between an automobile manufacturer and a maker of automobile tires is an example of a
What is vertical merger.
400
If discrimination based on gender and race was eliminated, we would expect the personal distribution of income to become
What is more equal
400
Model of discrimination that suggests that when women and minorities are systematically excluded from high paying occupations and crowded into low paying ones, their wages and society demestic output are reduced
What is crowding out model
500
The Federal income tax is consistent with the __________ principle of taxation, whereas an excise tax on sporting event tickets is consistent with the ___________ principle of taxation.
What is ability-to-pay; benefits received
500
obligate a purchaser of product X to also buy product Y from the same seller.
What is Tying agreements
500
The optimal amount of social regulation occurs where the marginal benefit of such regulation:
What is greater than or equals the marginal cost.
500
Since 1970 the distribution of income has:
What is become less equal.
500
a phrase meaning an excellent example of a particular type of person or thing." Merriam Webster has noted, "comes from an obsolete adjective meaning 'delightful.'"