Which of the Following Scenarios Is Consistent with the Laffer

question 135

Multiple Choice

Which of the following scenarios is consistent with the Laffer curve?

• A)An increase in the tax rate always increases tax revenue.
• B)The tax rate is 1 percent, and tax revenue is very high.
• C)The tax rate is 99 percent, and tax revenue is very high.
• D)A decrease in the tax rate always increases tax revenue.

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Definitions:

Phenotypic Display

A term used in genetics and evolutionary biology to refer to the observable physical or biochemical characteristics of an organism as determined by both genetic makeup and environmental influences.

Epigenetics

The idea that some environments can influence how much genetics will matter.

Different Families

A reference to the diversity in family structures, ranging from nuclear families to single-parent, extended, and non-traditional arrangements.

Different Cultures

Refers to the variety of lifestyles, traditions, and values held by groups of people in different geographic, social, or ethnic backgrounds.