Question 13 (2 points) Listen Which is a difference between income taxes and payroll taxes? Income tax obligations are larger than payroll tax obligations for almost everyone Payroll taxes apply to broader sources of income than income taxes do Income taxes apply to broader sources of income than payroll taxes do Payroll taxes are more progressive than income taxes Question 14 (2 points) Listen Subsidizing a program with a $1 million tax expenditure Is equivalent to subsidizing it with a $1 million grant Creates less deadweight loss than subsidizing it with a $1 million grant Is more fiscally responsible than subsidizing it with a $1 million grant, because a tax expenditure costs the government nothing Is more expensive than subsidizing it with a $1 million grant Question 15 (2 points) Listen The Ramsey rule is about designing tax policy to Maximize efficiency losses, subject to collecting a certain amount of tax revenue Minimize tax revenue Minimize efficiency losses, subject to collecting a certain amount of tax revenue Maximize tax revenue Question 16 (2 points) Listen > For tax purposes, a profit-maximizing corporation would prefer To deduct its depreciation expenses as slowly as possible To deduct its depreciation expenses as quickly as possible To deduct its depreciation expenses at a constant rate over the useful life of an asset To not deduct depreciation expenses