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Because the Income Tax Is Progressive,the Amount of Taxes Paid

Question 119

Multiple Choice

Because the income tax is progressive,the amount of taxes paid is a


A) constant fraction of income throughout the business cycle (i.e.,as the economy experiences considerable fluctuation)
B) larger fraction of income in expansions than in contractions
C) smaller fraction of income in expansions than in contractions
D) decreasing function of income in both expansions and contractions
E) constant amount

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