Politician

stubbornp · Posted: Wed Sep 03, 2008 7:52 pm Post subject: Politician

Politician: All nations that place a high tax on
income produce thereby a negative incentive
for technological innovation, and all nations in
which technological innovation is hampered
inevitably fall behind in the international arms
race. Those nations that, through historical
accident or the foolishness of their political
leadership, wind up in a strategically
disadvantageous position are destined to lose
their voice in world affairs. So if a nation wants
to maintain its value system and way of life, it
must not allow its highest tax bracket to exceed
30 percent of income.
Each of the following, if true, weakens the
politician’s argument EXCEPT:
(A) The top level of taxation must reach 45 percent
before taxation begins to deter inventors and
industrialists from introducing new
technologies and industries.
(B) Making a great deal of money is an
insignificant factor in driving technological
innovation.
(C) Falling behind in the international arms race
does not necessarily lead to a strategically
less advantageous position.
(D) Those nations that lose influence in the world
community do not necessarily suffer from a
threat to their value system or way of life.
(E) Allowing one’s country to lose its
technological edge, especially as concerns
weaponry, would be foolish rather than
merely a historical accident.

anju · Posted: Wed Sep 03, 2008 9:45 pm Post subject:

imo E