The Main Arguments in Favour of a Modified Flat-Rate Tax

question 6

Multiple Choice

The main arguments in favour of a modified flat-rate tax system (such as a proposal to place a 19% tax on all income over R200 000 with no deductions) are that it would…

• A) raise more revenue than the current tax system, and it would be simpler.
• B) raise more revenue than the current tax system, and it would lower marginal tax rates.
• C) be simpler and it would lower average tax rates.
• D) be simpler and it would lower marginal tax rates.

Understand the role of foreigners in the U.S. economy as creditors and owners in the 1980s.

Describe the components and significance of the balance of payments and its accounts.

Explain the impact of currency valuation/devaluation on international trade and investment.

Define the current account and capital account, and their relationship with the U.S. economy's performance.

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Definitions:

Superficial

Located near the surface of the body or an organ.

Pulse Pressure

The difference between systolic and diastolic blood pressure readings, reflecting the force that the heart generates each time it contracts.

Arterial Pressure

The pressure of the blood within the arteries, typically reflecting the force exerted by the heart when pumping blood through the arterial system.

Systolic Pressure

The top number in a blood pressure reading, representing the maximum pressure your heart exerts while beating.