In 2011,the Average American Paid Approximately How Much to the Federal

question 13

Multiple Choice

In 2011,the average American paid approximately how much to the federal government in taxes?

• A)$2,000
• B)$2,500
• C)$8,000
• D)$10,500

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Definitions:

Purely Competitive Firm

refers to a company that operates in a market where there are many buyers and sellers, no barriers to entry, and the product is a commodity, leading the firm to be a price taker.

Monopolistic Competition

An economic model featuring a multitude of firms that market products which are alike but not the same, enabling a certain amount of market control and differentiation of products.

Demand Curve

A graphical representation showing the relationship between the price of a good or service and the quantity demanded by consumers.

Economic Profits

The surplus remaining after deducting both the explicit and implicit costs from a firm's total revenues.