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Table for the government of grinland

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Reference no: EM131593816

The GDP of Grinland is currently $800 million. Production in Grinland is unaffected by changes in the tax rate until the rate hits 20 percent. Thereafter, for each 5-percentage points of increase in the tax rate, GDP drops by 60 million.

a) Complete the following table for the government of Grinland.

% Tax Rate GDP Tax Revenue

0

5

10

15

20

25

30

35

40

45

50

55

60

Reference no: EM131593816

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