b. Suppose that there is a standard deduction of $4,000 and that James initially has $3,000 in itemized deductions, while Severus initially has $4,500 in itemized deductions.

 ii. Suppose instead that the tax code treats interest paid on student loans as a tax credit and that both taxpayers have student loan interest payments of $2,000. Calculate the taxes saved (how much less they have to pay) as a direct result of the $2,000 credit for each taxpayer.

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