The personal income tax varies as GDP changes.

Name: The personal income tax varies as GDP changes.
Brand: Quizplus
Rating: 4.9 (53 reviews)

Question

Quizplus · Accepted Answer

Personal income tax is typically based on a percentage of a person's income. As GDP increases, so does the total income of individuals, which leads to an increase in tax revenue collected from personal income tax. Conversely, as GDP decreases, so does the total income of individuals and the amount of tax revenue collected from personal income tax decreases.

The Personal Income Tax Varies as GDP Changes