Assume That Javier Is Indifferent Between Investing in a City

question 75

Multiple Choice

Assume that Javier is indifferent between investing in a city of El Paso bond that pays 5% interest and a corporate bond that pays 6.25% interest.What is Javier's marginal tax rate?

• A)50%.
• B)40%.
• C)30%.
• D)20%.
• E)None of the choices are correct.

---

Definitions:

Foolish Conformity

The act of adopting behaviors or beliefs uncritically or irrationally, often to align with a group's norms or expectations.

Affiliation Needs

The human need to form and maintain strong, stable interpersonal relationships and social connections.

Safety

The state of being safe from or not prone to causing harm, risk, or damage.

Psychological Need

An inherent requirement for psychological well-being, including needs for affiliation, achievement, autonomy, and self-esteem.