Which of the Following Beliefs Is Not Part of Supply-Side

question 104

Multiple Choice

Which of the following beliefs is not part of supply-side economics?

• A) A sharp reduction in personal income taxes would bring forth higher labor-force participation.
• B) A sharp reduction in personal income taxes would bring forth a higher capital stock through greater saving and investment.
• C) A reduction in tax rates would lead to increased output and actually allow tax revenues to rise.
• D) A sharp reduction in corporate income taxes would discourage U.S. corporations from shifting their production facilities to other countries, thus leading to a decrease in the unemployment rate.

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Definitions:

RNA

RNA, a vital nucleic acid found in every living cell, functions as a courier, delivering directions from DNA to regulate protein synthesis.

Evolutionary Systematics

An approach to classification that considers both evolutionary relationships and the extent of divergence that has occurred since a group branched from an ancestral group. Compare with cladistics and phenetics.

Phylogenetic Tree

A branching diagram that shows lines of descent among a group of related species.

Ancestral Characters

See shared ancestral characters.