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Which of the Following Taxes Best Illustrates the Benefits Principle

Question 183

Multiple Choice

Which of the following taxes best illustrates the benefits principle of taxation?


A) sales tax on clothing used to fund food stamps
B) state income tax used to fund state universities
C) medicare tax imposed on all workers used to fund medical care for the elderly
D) gasoline tax used to fund road repairs
E) federal income tax used to fund NASA spending

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