In October 2008, President Bush Enacted the Alternative Minimum Tax

question 59

Multiple Choice

In October 2008, President Bush enacted the Alternative Minimum Tax Relief Act of 2008, which resulted in lower taxes on labor income. According the supply-side view, this would result in

• A) an increase in the tax wedge.
• B) a leftward shift in the supply of labor curve.
• C) a movement along the supply of labor curve.
• D) a rightward shift in the supply of labor curve.

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Definitions:

False

Not true; incorrect.

False Alternative

A logical fallacy that occurs when an argument presents a limited set of options as if they are the only possibilities when, in fact, more options exist.

Fallacy

An incorrect argument in logic and rhetoric resulting in a lack of validity, or more generally, an error in reasoning.

Lemon Trees

Perennial plants known for producing lemons, characterized by their citrus fruit and aromatic leaves.