Consider a system in which a person earning $10,000 pays $1,000 in taxes, a person earning $25,000 pays $1,000 in taxes, and a person earning $60,000 pays $1,000 in taxes. Identify the correct statement.
A) This is an example of regressive taxation.
B) This is an example of proportional taxation.
C) This is an example of progressive taxation.
D) This is an example of a tax based on the benefits-received principle.
E) This is an example of a Pigouvian tax.
Correct Answer:
Verified
Q151: Which of the following is true of
Q152: International trade occurs because the opportunity cost
Q153: The value during a given period of
Q154: Which of the following is true of
Q155: Katie had a before-tax income of $40,000
Q157: Table 3.2 Q158: Which of the following would indicate that Q159: Which of the following would indicate that Q160: Table 3.3 Q161: A product that is produced in China
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents