A local wage tax can:
A) create tax competition if a neighboring jurisdiction does not have such a tax.
B) export tax onto workers in the local jurisdiction who live outside of the local jurisdiction.
C) prevent tax competition among other local jurisdictions.
D) both (a) and (b) are correct.
Correct Answer:
Verified
Q25: In general, local tax bases tend to
Q26: A categorical grant:
A)does not restrict the use
Q27: Which of the following is true about
Q28: An increase in the local retail sales
Q29: Local public goods:
A)are pure public goods for
Q31: Mobility:
A)is not essential to the Tiebout model.
B)can
Q32: A decentralized system of government:
A)tends to result
Q33: The central economic problem of fiscal federalism
Q34: Fiscal capacity:
A)decreases with the ability of the
Q35: Matching grants:
A)will not increase government spending in
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