Broad-based taxes are less likely to be shifted than partial taxes are.

Question

Quizplus · Accepted Answer

Broad-based taxes, such as those applied to a wide range of goods or income, are less likely to be shifted because they affect a larger portion of the economy and population, making it harder for any single group to avoid or pass on the tax burden. Partial taxes, on the other hand, target specific goods, services, or sectors, making it easier for those directly affected to shift the tax burden to others, such as through price increases.

Broad-Based Taxes Are Less Likely to Be Shifted Than Partial