The Above Diagram Describes the Notion That as Tax

question 26

Multiple Choice

The above diagram describes the notion that as tax:

• A)revenues increase from zero to 100 percent, tax rates will increase from zero to some maximum level and then decline to zero.
• B)rates increase from zero to 100 percent, tax revenue will increase from zero to some maximum level and decline to zero.
• C)rates decrease from 100 to zero percent, tax revenue will decrease from 100 percent to a maximum level.
• D)rates increase from zero to 100 percent, tax revenue will increase from zero to a maximum level.

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Definitions:

Corporate Power

Refers to the influence and control exerted by large business corporations over economic and political decisions.

Walmart

An American multinational retail corporation operating a chain of hypermarkets, discount department stores, and grocery stores.

Countrywide Financial Corporation

A former American financial services company involved in the subprime mortgage crisis, which played a significant role in the global financial crisis of 2007-2008.

Corporate Capitalism

An economic system characterized by the dominance of hierarchical, profit-seeking corporations.