Figure 8-24

question 42

Multiple Choice

Figure 8-24.The figure represents the relationship between the size of a tax and the tax revenue raised by that tax.
-Refer to Figure 8-24.For an economy that is currently at point D on the curve,a decrease in the tax rate would

• A)decrease consumer surplus.
• B)decrease producer surplus.
• C)increase tax revenue.
• D)increase the deadweight loss of the tax.

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Definitions:

Mental Age

Mental Age is a concept used to describe the level of intellectual development as compared to an average person's development at a certain age, often used in assessing intellectual capabilities in children.

Chronological Age

The exact age of an individual measured in years from the date of birth to the current date.

Alfred Binet

A French psychologist best known for creating the first intelligence test, the Binet-Simon scale.

Intelligence Test

A method of assessing an individual's mental aptitudes and comparing them with others using numerical scores.