While debate over tax policy is complex, economists do have an important role to play.This role is best defined as:
A)arguing for policies that clearly lead to efficiency gains in the economy
B)shedding light on the trade-off between efficiency and equity in tax policy
C)articulating the importance of equity as the most important goal of tax policy
D)demonstrating that there are no trade-offs in tax policy; both efficiency and equity can be attained if the tax policy follows basic economic reasoning

Question

Quizplus · Accepted Answer

Economists can provide analysis on the trade-offs between efficiency and equity in tax policy. While efficiency gains are important for economic growth, equity considerations are also important for ensuring that the tax burden is distributed fairly among taxpayers.

While Debate Over Tax Policy Is Complex, Economists Do Have