Source: https://www.youtube.com/watch?v=Map0FmstzT8

1/ The supply schedule for Oprah Winfrey is:

Group of answer choices

Vertical which means very responsive to price.

Horizontal which means very responsive to price.

Horizontal which means completely unresponsive to price.

Vertical which means completely unresponsive to price.

2/ Economist Robert Gordon concludes the government should not be afraid to raise marginal tax rates for the highest income brackets.

Group of answer choices

True

False

3/ Regular people are different from celebrities like Oprah because regular people:

Group of answer choices

Have less elastic supply curves for labor.

Have more elastic supply curves for labor.

Have more elastic demand curves for goods.

Have less elastic demand curves for goods.

4/ Mick Jagger and Oprah Winfrey have in common that both:

Group of answer choices

Have inelastic demand for luxury goods.

Should be taxed at lower rates because doing so would create a lot of jobs.

Have inelastic supply of labor.

Are likely to work less if the government raises their income taxes by one percent.

5/ Economist Dan Hamermesh argues that a very high tax rate would cause Mick Jagger tostop being a rock star and do something else.

Group of answer choices

True

False

6/ Nobel Laureate Gary Becker argues that if you tell individuals they will receive the same income regardless of their effort, they will work less hard.

Group of answer choices

True

False

7/ Paul Solman interviews Nobel Laureate Gary Becker. Becker suggests that before accepting an invitation to speak he routinely:

Group of answer choices

Computes the income he will receive after taxes.

Computes what desirable goods he can buy with his honorarium.

Determines how he can shelter his honorarium from federal tax.

Determines what his foreign-currency honorarium is worth in dollars.