All of the following statements are true except
A) an income tax taxes savings twice only if consumption is the measure used to gauge a person's ability to pay.
B) proponents of income as a tax base argue that you should be taxed on what you draw out of the common pot instead of on the basis of your ability to draw from the pot.
C) the double taxation of saving tends to reduce the saving rate.
D) at this time, there is not clear consensus on what the best tax base is.
Correct Answer:
Verified
Q115: Wealth is a flow measure.
Q244: A person's wealth is the total value
Q245: For the purpose of defining economic income,
Q246: An income tax leads to double taxation
Q247: Horizontal equity holds that those with greater
Q248: Economic income is equal to consumption plus
Q250: Double taxation of saving may
A) increase the
Q251: Vertical equity holds that those with greater
Q253: Consumption is the total value of all
Q254: Which of the following is an example
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