Which of the Following Is an Example of an Unintended

question 54

Multiple Choice

Which of the following is an example of an unintended consequence?

• A)​government sponsored ad campaigns that lead to an increase in vaccinations
• B)​rent controls that lead to a decline in the quality of rental properties
• C)​higher property taxes that allow for better public schools
• D)​increased airport security measures that result in safer travel

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Definitions:

Marginal Tax Rate

The rate at which the next dollar of income will be taxed. Generally the taxpayer’s bracket rate.

Depreciation

The reduction in value of an asset over time, due in particular to wear and tear.

Labor Cost

Labor cost refers to the total expenditure incurred by an employer to compensate its employees, including wages, benefits, and taxes.

Net Cash Flow

The difference between a company's cash inflows and outflows within a specific period, indicating its overall liquidity.