The First Year of the Bush Administration in 2001 Could

question 40

Multiple Choice

The first year of the Bush administration in 2001 could be represented as a(n)

• A)increase in the aggregate demand curve.
• B)decrease in the aggregate demand curve.
• C)increase in the aggregate supply curve.
• D)decrease in the aggregate supply curve.

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Definitions:

Marginal Tax Rate

The tax rate that applies to each additional dollar of income earned; the percentage of tax paid on any additional income earned.

Capital Structure

The mix of a company's long-term debt, specific short-term debt, common equity, and preferred equity, which determines its financial leverage.

Pre-tax Cost

The expense associated with a resource or activity before the effect of taxes is considered.

Semi-annually

Occurring twice a year, a term often used in reference to the payment of interest or dividends.