Correct Answer: D. progressive tax

Explanation

A progressive tax is a tax system in which the tax rate increases as the amount of taxable income increases. This means that people with higher incomes pay a higher percentage of their income in taxes than people with lower incomes.

The curve labeled W shows that the tax rate increases as the amount of taxable income increases. This is the defining characteristic of a progressive tax system.

Correct Answer: C. trade inversion

Correct Answer: C. Preferential treatment

Correct Answer: C. continuity

Correct Answer: D) the limits to a person

Explanation

The question is asking about a budget line. A budget line shows the limits to a person's consumption possibilities. This means that it shows the different combinations of goods and services that a person can afford to buy with their income or budget. The budget line is determined by the prices of the goods and services and the person's income.

Option A is incorrect because production possibilities refer to the different combinations of goods and services that can be produced with a given set of resources and technology. Option B is also incorrect because production opportunities refer to the potential for producing goods and services with available resources and technology.

Option C is incorrect because the shape of a person's demand curve shows how the quantity of a good or service demanded changes in response to changes in the price of the good or service, not the shape of the budget line.

Therefore, the correct answer is option D, which states that a budget line shows the limits to a person's consumption possibilities. This means that the budget line shows the different combinations of goods and services that a person can afford to buy with their available income.

Understanding budget lines is important in economics because it helps individuals and businesses make decisions about how to allocate their resources and determine what they can afford to consume or produce.

Correct Answer: C) secondary market

Explanation

The question is asking us to identify the market where existing securities are sold and purchased. The options given are primary markets, money market, secondary market, and capital market.

The primary market is where new securities are issued for the first time, such as initial public offerings (IPOs). The money market is a market for short-term borrowing and lending, typically with maturities of one year or less.

The correct answer is option C: secondary market. The secondary market is where existing securities, such as stocks and bonds, are bought and sold among investors. This market provides liquidity to investors who want to sell their securities and provides opportunities for other investors to purchase them.

The capital market is a broader term that includes both the primary and secondary markets and refers to the market for long-term financial instruments such as stocks and bonds.

In summary, the market for the sale and purchase of existing securities is known as the secondary market. It is where investors can buy and sell securities from each other.

Explanation

(a) Unemployment is a situation where people who are able and willing to work at the existing wage rate are unable to find workOR a situation where factors of production such as capital lie idle or cannot be put to productive use. While underemployment exists when labour is engaged is any form of occupation/work below its full potentialOR a situation where resources like capital is not optimally used.

(b)(i)Seasonal unemployment: This refers to a fall in demand for labour at certain times of the year due to seasonal changes e.g when schools are on vacation, sellers in the school canteen become unemployed; farmers become unemployed during the dry season.

(ii)Structural unemployment: This occurs when there is a fall in the demand for the product of an industry leading to workers being permanently laid off.OR Structural unemployment occurs when there is a fall in the demand for the process of production changes, such that some workers become redundant e.g the use of earthmoving equipment has rendered labourers who use pick axes and shovels redundant in the construction industry; counting machines and ATMs have resulted in less people being employed as cashiers.

(iii)Frictional unemployment: This is unemployment caused by workers changing jobs or school leavers searching for jobs e.g a fresh graduate looking for a job.

(iv) Cyclical unemployment: This is the unemployment caused by a deficiency in aggregate demand leading to a deflationary phase of the business cycle e.g when aggregate demand falls, firms need to cut down on labour.

Correct Answer: A. elastic

Correct Answer: B. they are expected to operate with the primary aim of making profits

Correct Answer: B. profit level