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A Nation Shifts from a Very Progressive Tax System (With

Question 27

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A nation shifts from a very progressive tax system (with a higher tax rate on higher incomes) to a tax system that taxes all wages at the same rate.Both systems collect about the same revenues.This shift is likely to


A) decrease the fraction of the population getting more education.
B) increase the fraction of the population getting more education.
C) have no effect on the fraction of the population getting more education.
D) increase the fraction of the population wanting to work long hours.

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