Many economists believe that the U.S.tax system would be made more efficient if the basis of taxation were changed so that people paid taxes,more so than they do now,based on
A) their saving rather than their income.
B) their spending rather than their income.
C) their income rather than their wealth.
D) their wealth rather than their spending.

Question

Quizplus · Accepted Answer

Many economists believe that taxing based on spending rather than income would create a more efficient tax system because it would encourage saving and investment, which ultimately leads to economic growth. This approach is also seen as more fair because it takes into account people's ability to pay taxes rather than just their income.

Many Economists Believe That the U