Which of the Following Is Not True About the Personal

question 163

Multiple Choice

Which of the following is not true about the personal income tax?

• A)It reduces the number of individuals working.
• B)It reduces the amount of labor demanded.
• C)It shifts the labor demand curve.
• D)It reduces the supply of labor.
• E)It drives up wages.

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Definitions:

Barriers to Trade

Measures that governments or public authorities introduce to restrict or prevent international trade.

Quota

A government-imposed trade restriction that limits the quantity or monetary value of goods that can be imported or exported during a specific time frame.

Domestic Producers

Companies or individuals that manufacture or produce goods within their own country, as opposed to importing them from abroad.

NAFTA

The North American Free Trade Agreement, a treaty between Canada, Mexico, and the United States that removed tariffs and facilitated trade between the member countries.