Which of the Following Typically Purchases the Most Goods and Services

question 57

Multiple Choice

Which of the following typically purchases the most goods and services in the U.S.economy?

• A)Foreigners.
• B)Households.
• C)Federal,state and local governments combined.
• D)Businesses.

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Definitions:

Marginal Tax Rates

The rate of tax applied to the last dollar of income, which varies depending on income level and tax bracket.

Tax Revenue

The income that a government receives from taxation of individuals and businesses.

Rational Expectationists

Economists advocate the view that people base their choices on logical thinking, accessible data, and historical experiences.

Government Policy

A course of action or a series of actions taken by a government to address a particular issue, problem, or need in society.