This question for Rudra only. If new highly progressive tax laws are enacted, the resulting Lorenz curve will move to the right-hand corner of the…

This question for Rudra only.

Q16. If new highly progressive tax laws are enacted, the resulting Lorenz curve will move to the right-hand corner of the graph.    a. true    b. false

Q33. In using the GDP as a measure of business cycles, it is best to use real GDP.    a. true    b. false

Q37. Schumpeter’s theory that business cycles are caused by breakthroughs in the form of new products, new machines, or new production techniques is known as the    a. real business cycle theory    b. innovative theory    c. overinvestment theory    d. technology theory

Q42. Which of the following is an example of an automatic stabilizer?    a. public works    b. unemployment compensation    c. interest rates    d. highway spending

Q9. Raising taxes in order to pay off the U.S. national debt would result in a significant redistribution of income.    a. true    b. false

Q13. Which of the following is not a necessary characteristic for a tax to qualify as a good tax?

   a. justifiability

   b. convenience

   c. being economical

   d.

reasonable

Q14. Reducing the national debt would increase the money supply.    a. true    b. false

Q31. The largest trading partner of the United states is    a. Mexico    b. Canada    c. European Union    d. Japan

Q16. If new highly progressive tax laws are enacted, the resulting Lorenz curve will move to theright-hand corner of the graph.a. trueb. falseQ33. In using the GDP as a measure of business…

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