If Total Government Tax Collections Equal $100 Billion, Transfer Payments

question 18

Multiple Choice

If total government tax collections equal $100 billion, transfer payments equal $50 billion, and government interest payments equal $5 billion, then net taxes equal:

• A) $55 billion.
• B) $45 billion.
• C) $155 billion.
• D) $105 billion.

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Definitions:

Sale of Widgets

The sale of widgets refers to the commercial transaction of buying and selling widgets, which are fictional, general-purpose devices or products often used in economic examples.

Delegation of Duties

The act of assigning responsibility and authority for specific tasks or functions from one person or group to another while retaining ultimate responsibility.

Portrait Painted

The art or act of creating a likeness of a person, particularly their face, onto a surface using paint.

Valid Delegation

The act of legally transferring one's authority or responsibility to another party who is capable and authorized to carry out the necessary tasks.