A Demand Schedule Relates Prices of a Particular Good to Quantities

question 102

True/False

A demand schedule relates prices of a particular good to quantities demanded.

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Definitions:

Goods And Services

The physical items (goods) and activities or benefits (services) that fulfill consumer needs and wants.

Progressive Tax

At the individual level, a tax whose average tax rate increases as the taxpayer’s income increases. At the national level, a tax for which the average tax rate (= tax revenue/GDP) rises with GDP.

Average Tax Rate

Total tax paid divided by total taxable income or some other base (such as total income) against which to compare the amount of tax paid. Expressed as a percentage.

Highly Progressive

A tax system in which tax rates increase significantly as income or wealth rises.