Which of the Following Ideas Is the Most Plausible

question 40

Multiple Choice

Which of the following ideas is the most plausible?

• A)Tax revenue is more likely to increase when a low tax rate is increased than when a high tax rate is increased.
• B)Tax revenue is less likely to increase when a low tax rate is increased than when a high tax rate is increased.
• C)Tax revenue is likely to increase by the same amount when a low tax rate is increased and when a high tax rate is increased.
• D)Decreasing a tax rate can never increase tax revenue.

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Definitions:

Confidence Interval

A variety of values, extracted from sample data, presumed to envelop the value of an unascertained population characteristic.

Mean Score

The average score obtained by adding all the individual scores in a set and dividing by the total number of scores.

Confidence Interval

A range of values, derived from the sample data, that is likely to contain the value of an unknown population parameter.

Standard Deviation

Indicates the dispersion or variability within a set of numerical values around their average.