Solutions to Chapter 1
[On a financial calculator, enter: PV = (()422.41, FV = 1000, n = 10, PMT = 0, and compute the interest rate.] ... Therefore, in 2007, a 40-point movement was far less significant in percentage terms than it was in 1990. ... To the extent that the government collects less tax, there is a bigger pie of after-tax income available to the debt and ... ................
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