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An Income Tax Is Progressive If,as Income Increases

Question 2

Multiple Choice

An income tax is progressive if,as income increases,


A) its average tax rate is increasing.
B) its marginal tax rate is falling.
C) its average tax rate is falling,but total taxes are increasing.
D) its average tax rate and marginal tax rate are constant while income is increasing.
E) its average tax rate is falling,but the marginal tax rate is increasing.

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