Use the following to answer question:
-(Table: Taxes,Spending,and Income)Use Table: Taxes,Spending,and Income.Suppose Governor Meridias decides to initiate a state tax of 5% on all sales.This tax will be:
A)progressive.
B)proportional.
C)regressive.
D)structural.

Question

Use the following to answer question: 
-(Table: Taxes,Spending,and Income)Use Table: Taxes,Spending,and Income.Suppose Governor Meridias decides to initiate a state tax of 5% on all sales.This tax will be:
A)progressive. 
B)proportional. 
C)regressive. 
D)structural.

Quizplus · Accepted Answer

A sales tax is considered regressive because it takes a larger percentage of income from low-income earners than from high-income earners, as everyone pays the same rate regardless of their income level.

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