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Festwalia has two types of workers: low-skill workers, who earn $10 per hour, and high-skill workers, who earn $20 per hour. The government of Festwalia currently imposes a 20% proportional tax on all labor earnings. It is considering replacing this tax with a new, regressive tax. The new tax system will raise the same total revenue as the original system, but it will do so by taxing the low-skill workers at a rate above 20% and exempting the high-skill workers from paying any tax at all. Will this new, regressive tax system be more or less efficient than the old, proportional tax system?
take a country named konowland that has an electoral college system. suppose there are nine small states in konowland
The following table shows bottled water demand and supply for a particular city: Draw supply and demand curve. Identify equilibrium price and quantity. Identify Consumer Market Surplus and Producer Market Surplus. Using your graph, calculate the doll..
You have just started a new job and one of the fringe benefits is a company contribution of $5,000 every year into a retirement savings account. Assuming the contribution amounts remain unchanged and that the account earns an average of 8% per year, ..
q1. if the us economy is operating near full employment and the exchange rate increases the dollar appreciates explain
The money, or financial, multiplier is equal to 1/ the reserve requirement, that is, Mk = 1/RR. Assume that RR = 20%. What is Mk? Now assume that the reserve requirement is lowered to 10%. What is the new Mk? What would happen to Mk if the RR were ra..
A bank has a net income (after taxes) of $3.5 million; assets of $150 million; and bank capital of $12.5 million. What is the bank’s (i) return on equity; (ii) return on assets; and (iii) debt-to-equity ratio? Show your work.
What is the investment objective and top 5 holdings for the real estate security: TIREX (look in yahoo finance). Are the holdings consistent with the investment objective? Is the Fund highly diversified? Explain. Where is it traded? What is the minim..
A study finds that leaf blowers make too much noise, so the government imposes a $10 tax on the sale of every unit to correct for the social cost of the noise pollution. Describe the impact of the tax on the number of leaf blowers sold. What is the s..
Calculate and compare the profit under each flight. Should the airline replace its night flight from Los Angeles with a morning flight?
Clearly show on your graph the old equilibrium price and quantity and the new equilibrium price and quantity. Can you tell for certain whether the new equilibrium price will be higher or lower than the old equilibrium price?
Explain how each of the following would affect the NHLPA's bargaining position. a. Russia's Kontinental Hockey League signs a large number of NHL stars.
California is a large producer of strawberries. Oh No! There is a killer frost that kills half of the crop! (A)How has this affected supply or demand of strawberries? (B)What has happened to the price of strawberries? Please justify your answer by gr..
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