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A Tax Is Said to Be Progressive If _____

Question 147

Multiple Choice

A tax is said to be progressive if _____


A) the absolute size of the tax (in dollars) increases as income increases.
B) the wealthy pay a smaller percentage of their income in taxes than the poor.
C) the average tax rate falls as income rises.
D) the proportion of income paid as taxes increases as income increases.
E) the proceeds are used to pay for political programs.

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