Fiscal Policy: Taxes Answers

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According to the graph, how much did individuals making $20,000 to $50,000 a year pay in income taxes?

Answers:
Taxes that are paid by individuals on all money earned, including investments, are .:income taxes
Taxes that are paid by homeowners to state and local governments are .:property taxes
Taxes that businesses are required to pay on their earnings throughout the course of a year are.:corporate taxes
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progressive✔ regressiveproportional

Answers:
This scenario describes a tax system.:regressive
Isabel pays Tony and Juan on the computer.:the same tax as
pays the highest tax rate on the computer.:Tony
would be the most affected by an increase in the sales tax rate.:Tony
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more tax thanless tax than✔ the same tax as

A
more tax than
B
less tax than
C
✔ the same tax as
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✔ TonyJuanIsabel

A
✔ Tony
B
Juan
C
Isabel
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✔ TonyJuanIsabel

A
✔ Tony
B
Juan
C
Isabel
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✔ progressive regressive proportional

Answers:
This chart describes a tax system.:progressive
The individual who benefits most from this policy is probably.:Rohan
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✔ RohanNikkitaAhmed

A
✔ Rohan
B
Nikkita
C
Ahmed
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progressive regressive✔ proportional

Answers:
The chart describes a tax system.:proportional
In this tax system, higher-income earners pay a(n) proportion compared to lower-income earners.:equal
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higher✔ equal lower

A
higher
B
✔ equal
C
lower
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about $80 billionabout $280 billion✔ about $480 billion

A
about $80 billion
B
about $280 billion
C
✔ about $480 billion
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progressive taxes✔ income taxescorporate taxes

Answers:
Taxes that are paid by individuals on all money earned, including investments, are .:income taxes
Taxes that are paid by homeowners to state and local governments are .:property taxes
Taxes that businesses are required to pay on their earnings throughout the course of a year are.:corporate taxes
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✔ property taxesregressive taxescorporate taxes

A
✔ property taxes
B
regressive taxes
C
corporate taxes
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direct taxesproportional taxes✔ corporate taxes

A
direct taxes
B
proportional taxes
C
✔ corporate taxes
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Based on what you have read, what type of tax is Robert paying?

A
a tariff
B
a sales tax
C
an excise tax
D
a corporate tax
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What action can the government of Country DF take to encourage citizens to purchase homes?

A
maintain corporate tax rates
B
raise income taxes
C
raise property tax rates
D
lower income taxes for homeowners
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What are the most likely effects of this policy? Check all that apply.

A
Businesses will likely pay workers less.
B
Businesses will likely hire more workers.
C
Businesses will likely earn higher profits.
D
Businesses will likely invest less in the economy.
E
Businesses will likely invest more in the economy.
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What details did you discuss in your response? Check all that apply.

A
the difference between expansionary policy and contractionary policy
B
expansionary policies are used to stimulate the economy and reduce unemployment
C
contractionary polices are used to reduce economic growth and combat inflation
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How can expansionary and contractionary tax policies be used to manage the economy?Be sure to give your answer in two to three sentences.

Answer:

Expansionary tax policy lowers taxes, giving consumers and businesses more money to spend and helping stimulate the economy and reduce unemployment. Contractionary tax policy raises taxes to reduce spending and slow economic growth when the economy is growing too quickly, helping combat inflation.

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