Nоte: Pleаse cleаrly lаbel yоur answers submissiоn sheet by section (Parts 1-4) and question number so it is straightforward to grade. Part 2: Cutting Taxes (36 points, 3 each) The Republican controlled congress is currently proposing various bills to cut taxes. Assume we permanently cut labor income taxes in our model. Assume that the income effect on labor supply is the same as the substitution effect on labor supply, like most empirical evidence suggests. Assume that households are PIH and they care about the PVLR of their after-tax earnings when making consumption decisions. Let’s first consider the short-run and then the long-run adjustment under the self-correcting mechanism. 1. In the short-run: Consumption will rise Consumption will be unchanged Consumption will fall The effect on consumption is ambiguous 2. In the short-run: Prices will rise and output will rise Prices will rise and output will be unchanged Prices will rise and output will fall Prices will fall and output will fall Prices will fall and output will be unchanged Prices will fall and output will rise The effect on prices and output is ambiguous 3. In the short-run: Employment will be unchanged Employment will increase Employment will decrease The effect on employment is ambiguous 4. In the short-run: The IS Curve shifts right and the LM curve shifts right The IS curve shifts right and the LM curve doesn’t shift The IS curve shifts right and the LM curve shifts left The IS curve shifts left and the LM curve shifts right The IS curve shifts left and the LM curve doesn’t shift The IS curve shifts left and the LM curve shifts left 5. In the short-run: Investment rises and consumption falls Investment rises and consumption is unchanged Investment rises and consumption rises Investment falls and consumption falls Investment falls and consumption is unchanged Investment falls and consumption rises 6. In the long-run (comparing to the initial point): Y* will rise Y* will be unchanged Y* will fall The effect on Y* is ambiguous 7. In the long-run (comparing to the initial point): Prices will fall Prices will stay the same Prices will rise The movement in prices is ambiguous 8. In the long-run (comparing to the initial point): The after tax real wage will rise The after tax real wage will be unchanged The after tax real wage will fall The effect on after tax real wages is ambiguous 9. In the long-run (comparing to the initial point): Investment rises and consumption falls Investment rises and consumption is unchanged Investment rises and consumption rises Investment falls and consumption falls Investment falls and consumption is unchanged Investment falls and consumption rises 10. In the long-run (comparing to the initial point): The structural deficit rises The structural deficit is unchanged The structural deficit declines The effect on the structural deficit is ambiguous When these tax cuts were first implemented in 2017, they were set to expire in 2025. This means that under current law, taxes are set to increase at the end of 2025. However, “temporary” tax cuts in the past have typically been extended, so many households might be expecting the tax rates from 2017 to continue into the future. Suppose that the 2017 tax cuts get extended through new legislation this year, but that people already expected those tax rates to continue before this new legislation was passed. 11. In the short-run: Consumption will rise Consumption will be unchanged Consumption will fall The effect on consumption is ambiguous 12. In the short-run: Output will rise Output will be unchanged Output will fall The effect on output is ambiguous
Questiоns 19-30 аre bаsed оn the fоllowing pаssage Toxic Agents in the Environment 1 Determining what types and levels of risk a potential toxicant might pose requires diligent scientific work, both in the laboratory and in the field. Shortly we will look at how scientists study the effects of toxicants in the lab, but first let's quickly survey what kinds of toxic agents exist around us and how they behave and move through the environment. Toxicants come in many different types 2 Toxicants can be classified into different types based on their health effects. The best-known arecarcinogens, chemicals or types of radiation that cause cancer. In cancer, certain malignant cells growuncontrollably, creating tumors, damaging the body's functioning, and often leading to death. In our society today, the greatest number of cancer cases is thought to result from carcinogens contained in cigarette smoke. Carcinogens can be difficult to identify because there may be a long lag time between exposure to the agent and the detectable onset of cancer. Historically, much toxicological work focused on carcinogens. Now, however, we know that toxicants can produce many different types of effects, so scientists have many more endpoints, or health impacts, to look for. 3 Mutagens are chemicals that cause mutations in the DNA of organisms (Chapter 4). Although mostmutations have little or no effect, some can lead to severe problems, including cancer and many otherdisorders. Mutations can harm the individual exposed to the mutagen, or if the mutations occur in sperm or egg cells, then the individual's offspring may suffer the effects. 4 Chemicals that cause harm to the unborn are called teratogens. Teratogens that affect the development of human embryos in the womb can cause birth defects. One example involves the drug thalidomide, developed in the 1950s as a sleeping pill and to prevent nausea during pregnancy. Tragically, the drug turned out to be a powerful teratogen, and its use caused birth defects in thousands of babies. Even a single dose during pregnancy could result in limb deformities and organ defects. Thalidomide was banned in the early 1960s once the connection with birth defects was recognized. Ironically, today the drug shows some promise in treating a wide range of diseases, including Alzheimer's disease, AIDS, and various types of cancer. 5 Some toxicants cause harm by affecting the immune system, which protects our bodies from disease. Allergens over-activate the immune system, causing an immune response when one is not necessary. One hypothesis for the increase in asthma in recent years is an increase in allergenic synthetic chemicals in our environment. Other toxicants may weaken the immune system, making the body less able to defend itself against bacteria, viruses, allergy-causing agents, and other attackers. 6 Neurotoxins are also harmful to the body. Neurotoxins, however, assault the nervous system.Neurotoxins include various heavy metals such as lead, mercury, and cadmium, as well as pesticides and some chemical weapons developed for use in war. A famous case of neurotoxin poisoning occurred in Japan, where a chemical factory dumped mercury waste into Minamata Bay between the 1930s and 1960s. Thousands of people in and around the town on the bay were poisoned by eating fish contaminated with the mercury. First the town's cats began convulsing and dying, and then people began to show odd symptoms including slurred speech, loss of muscle control, sudden fits of laughter, and in some cases death. The company and the government eventually paid out millions of dollars in compensation to affected residents. 7 Most recently, scientists have recognized the importance of endocrine disrupters, toxicants thatinterfere with the endocrine system. The endocrine system consists of a series of chemical messengers(hormones) that travel through the body. Sent through the body at extremely low concentrations, thesemessenger molecules have many vital functions. They stimulate growth development and sexual maturity, and they regulate brain function, appetite, sexual drive, and many other aspects of our physiology and behavior. Hormone-disrupting toxicants can affect an animal's endocrine system in various ways, including blocking the action of hormones or accelerating their breakdown. Many endocrine disrupters possess molecular structures that happen to be very similar to certain hormones in their structure and chemistry. If a molecule is similar enough, it may mimic a hormone and interact with the receptor molecules for that hormone, just as the hormone would. --Brennan, Withgott, Environment, Pearson, 2005, pp. 299-300 Based upon its use in Paragraph 7, the best definition of the word disruptor is
Questiоns 19-30 аre bаsed оn the fоllowing pаssage Toxic Agents in the Environment 1 Determining what types and levels of risk a potential toxicant might pose requires diligent scientific work, both in the laboratory and in the field. Shortly we will look at how scientists study the effects of toxicants in the lab, but first let's quickly survey what kinds of toxic agents exist around us and how they behave and move through the environment. Toxicants come in many different types 2 Toxicants can be classified into different types based on their health effects. The best-known arecarcinogens, chemicals or types of radiation that cause cancer. In cancer, certain malignant cells growuncontrollably, creating tumors, damaging the body's functioning, and often leading to death. In our society today, the greatest number of cancer cases is thought to result from carcinogens contained in cigarette smoke. Carcinogens can be difficult to identify because there may be a long lag time between exposure to the agent and the detectable onset of cancer. Historically, much toxicological work focused on carcinogens. Now, however, we know that toxicants can produce many different types of effects, so scientists have many more endpoints, or health impacts, to look for. 3 Mutagens are chemicals that cause mutations in the DNA of organisms (Chapter 4). Although mostmutations have little or no effect, some can lead to severe problems, including cancer and many otherdisorders. Mutations can harm the individual exposed to the mutagen, or if the mutations occur in sperm or egg cells, then the individual's offspring may suffer the effects. 4 Chemicals that cause harm to the unborn are called teratogens. Teratogens that affect the development of human embryos in the womb can cause birth defects. One example involves the drug thalidomide, developed in the 1950s as a sleeping pill and to prevent nausea during pregnancy. Tragically, the drug turned out to be a powerful teratogen, and its use caused birth defects in thousands of babies. Even a single dose during pregnancy could result in limb deformities and organ defects. Thalidomide was banned in the early 1960s once the connection with birth defects was recognized. Ironically, today the drug shows some promise in treating a wide range of diseases, including Alzheimer's disease, AIDS, and various types of cancer. 5 Some toxicants cause harm by affecting the immune system, which protects our bodies from disease. Allergens over-activate the immune system, causing an immune response when one is not necessary. One hypothesis for the increase in asthma in recent years is an increase in allergenic synthetic chemicals in our environment. Other toxicants may weaken the immune system, making the body less able to defend itself against bacteria, viruses, allergy-causing agents, and other attackers. 6 Neurotoxins are also harmful to the body. Neurotoxins, however, assault the nervous system.Neurotoxins include various heavy metals such as lead, mercury, and cadmium, as well as pesticides and some chemical weapons developed for use in war. A famous case of neurotoxin poisoning occurred in Japan, where a chemical factory dumped mercury waste into Minamata Bay between the 1930s and 1960s. Thousands of people in and around the town on the bay were poisoned by eating fish contaminated with the mercury. First the town's cats began convulsing and dying, and then people began to show odd symptoms including slurred speech, loss of muscle control, sudden fits of laughter, and in some cases death. The company and the government eventually paid out millions of dollars in compensation to affected residents. 7 Most recently, scientists have recognized the importance of endocrine disrupters, toxicants thatinterfere with the endocrine system. The endocrine system consists of a series of chemical messengers(hormones) that travel through the body. Sent through the body at extremely low concentrations, thesemessenger molecules have many vital functions. They stimulate growth development and sexual maturity, and they regulate brain function, appetite, sexual drive, and many other aspects of our physiology and behavior. Hormone-disrupting toxicants can affect an animal's endocrine system in various ways, including blocking the action of hormones or accelerating their breakdown. Many endocrine disrupters possess molecular structures that happen to be very similar to certain hormones in their structure and chemistry. If a molecule is similar enough, it may mimic a hormone and interact with the receptor molecules for that hormone, just as the hormone would. --Brennan, Withgott, Environment, Pearson, 2005, pp. 299-300 The topic of this passage is
Nаme the pаthоlоgy indicаted This cоndition of a minor salivary gland in the labial mucosa of a patient from blockage of saliva due to severance of duct from trauma (lip bite.)
The insertiоn оf а muscle is generаlly аttached tо the least movable structure.