Week 3 Quiz [100% Score] The government taxes consumers in order to _________ All of the these. Horizontal equity is most closely aligned with ______________ taxes. proportional If the market for loanable funds is at equilibrium and the interest rate rises, what will happen? There will be a surplus of loanable funds What is an example of a tax that can be imposed by federal, state, and local authorities? Income tax If a sum of money is invested for one year at 9% interest, it's value will be $120. What is the present value of this investment? $110 Taxation is the primary means of __________________ financing the government. Paying corporate and payroll taxes are the responsibility of the ___________. corporation The securities market line assists in evaluating an asset's ________ and __________. risk; return If the interest rate is 5% and a firm issues a five year bond for $1,000, approximately how much will the firm repay at the end of the five years? $1,282 The longer the tim...