A regressive tax A. imposes a greater burden on those with higher incomes than on those with lower incomes B. is based on the ability to pay principle C. takes a greater percentage of the income of lower-income groups than of higher-income groups. D. is based on the benefits received principle. E. is considered to be the most equitable type of tax
A regressive tax A. imposes a greater burden on those with higher incomes than on those with lower incomes B. is based on the ability to pay principle C. takes a greater percentage of the income of lower-income groups than of higher-income groups. D. is based on the benefits received principle. E. is considered to be the most equitable type of tax
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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A regressive tax
A. imposes a greater burden on those with higher incomes than on those with lower incomes
B. is based on the ability to pay principle
C. takes a greater percentage of the income of lower-income groups than of higher-income groups.
D. is based on the benefits received principle.
E. is considered to be the most equitable type of tax
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