Which of the Following Statements Is False

question 11

Multiple Choice

Which of the following statements is false?

• A) One way to reduce costs is to increase productivity.
• B) Increased productivity can lead to higher manufacturing costs.
• C) Increased productivity is a concern for nations throughout the world.
• D) Productivity is expected to improve as more economic activity is transferred to the Internet.
• E) Productivity growth enables American business firms to compete more effectively with other nations in a competitive world.

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Definitions:

Marginal Tax Rate

The tax rate paid on the next dollar earned.

Average Tax Rate

Total amount of tax paid divided by total income.

Total Taxes

The aggregate amount of taxes collected by a government from individuals and businesses.

Taxable Income

The portion of an individual or entity's income that is subject to taxation, after deductions and exemptions, according to the law.