Assume That Investment Earnings Are Taxed,losses Can Be Deducted,and the Tax

Assume that investment earnings are taxed,losses can be deducted,and the tax structure is progressive.Which statement is TRUE?

A) Winning gambles are taxed at the same rate as the rate at which losing gambles are deducted.
B) Winning gambles are taxed at a lower rate than the rate at which losing gambles are deducted.
C) Winning gambles are taxed at a higher rate than the rate at which losing gambles are deducted.
D) There is more incentive to take on risk than if taxation were proportional.