Refer to the information provided in Table 19.5 below to answer the question that follows.
Table 19.5
$$\begin{array} { c c c c }
\text { Total Income } & \text { Total Taxes } & \text { Average Tax Rate } & \text { Marginal Tax Rate } \
\hline \$ 10,000 & \$ 1,500 & & \
\hline \$ 20,000 & \$ 2,400 & & \
\hline \$ 30,000 & \$ 3,000 & & \
\hline \$ 40,000 & \$ 3,200 & & \
\hline
\end{array}$$
-Refer to Table 19.5. The tax rate structure in this example is

Question

Refer to the information provided in Table 19.5 below to answer the question that follows.
Table 19.5
 $$\begin{array} { c c c c } 
\text { Total Income } & \text { Total Taxes } & \text { Average Tax Rate } & \text { Marginal Tax Rate } \
\hline \$ 10,000 & \$ 1,500 & & \
\hline \$ 20,000 & \$ 2,400 & & \
\hline \$ 30,000 & \$ 3,000 & & \
\hline \$ 40,000 & \$ 3,200 & & \
\hline
\end{array}$$
-Refer to Table 19.5. The tax rate structure in this example is

Quizplus · Accepted Answer

The tax rate structure is regressive because as total income increases, the average tax rate decreases, indicating that individuals with higher incomes pay a smaller proportion of their income in taxes compared to those with lower incomes.

Refer to the Information Provided in Table 19 -Refer to Table 19