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.

Understand the difference between a decrease in quantity demanded and a decrease in demand.

Recognize how changes in consumer tastes affect market demand.

Identify the effects of price changes on quantity demanded.

Comprehend the effect of external factors on shifts in demand curves.

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Definitions:

Binding Laws

Legal rules that must be adhered to by individuals and entities.

Administrative Agencies

Governmental bodies responsible for the oversight and administration of specific functions and regulations.

Created by Statute

Formed or brought into existence by a formal law or statute.

Statute

A written law passed by a legislative body at either the federal or state level.