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Calculate net indirect taxes if
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- In an economy find national income if NNPMP is $36,000 and net indirect tax is $22000If a rise in government expenditure of $2 million led to a rise in GDP of $10million, calculate the rise in GDP resulting from a tax cut of $2 million. Group of answer choices $6 million. $8 million. $10 million. $12 million.Which of the following is true of indirect business taxes? a) They are included in corporate profits. b) They are not included in the GDP. c) They reduce the value of total economic output thereby reducing the value of the GDP. d) They are collected by business firms that act as agents for the government. e) They are the same as personal income taxes.
- There are two individuals in a society. The federal income tax in this society is such that that the first $20,000 of income is taxed at 10% and income above that is taxed at 30%. The federal government allows taxes paid to local governments to be deducted. Peter earns a gross income of $53,000, and Sandy earns a gross income of $65,000. Out of his income, Peter pays $3,000 in local taxes; out of her income, Sandy pays $5,000 in local taxes. Which of the following statements is true? a. Peter’s total (local + federal) tax bill is greater than Sandy’s total tax bill. b. The federal tax system is progressive. c. The federal tax system is proportional. d. The federal tax system is regressiveThere are two individuals in a society. The federal income tax in this society is such that that the first $20,000 of income is taxed at 10% and income above that is taxed at 30%. The federal government allows taxes paid to local governments to be deducted. James earns a gross income of $40,000, and Jane earns a gross income of $65,000. Out of his income, James pays $1,000 in local taxes; out of her income, Jane pays $20,000 in local taxes. Which of the following statements is true? a. The federal tax system is proportional. b. James’ total (local + federal) tax bill is greater than Jane’s total tax bill. c. The federal tax system is regressive d. The federal tax system is progressive.There are two individuals in a society. The federal income tax in this society is such that that the first $20,000 of income is taxed at 10% and income above that is taxed at 30%. The federal government allows taxes paid to local governments to be deducted. James earns a gross income of $40,000, and Jane earns a gross income of $65,000. Out of his income, James pays $1,000 in local taxes; out of her income, Jane pays $20,000 in local taxes. Which of the following statements is true? A.The federal tax system is progressive. B.James’ total (local + federal) tax bill is greater than Jane’s total tax bill. C.The federal tax system is proportional. D.The federal tax system is regressive
- What is the difference between indirect taxes and net indirect taxes? Macro economicsGiven the market value of indirect taxes are 630 and subsidies are 34 what will be the value of net indirect taxes?Calculate the value of indirect taxes for the following two cases:- (1) Indirect tax = 0 , subsidies = $100 (2) indirect taxes = $200 , subsidies = $130
- If a tax rate of 1/3 of national income were introduced, what would be the new equilibrium level of national income in the economy outlined above. Show all your workings and explain the mechanisms through which the economy reaches the new equilibrium.Find the Net indirect taxes if the indirect taxes are $360 and the subsidies are $40?Calculate net indirect taxes if indirect taxes is $30 million and the subsidies are $16 million