Suppose that in the economy of Boise, Amy earns an income of $50,000 a year and pays $10,000 in income taxes; Bailey earns an income of $25,000 a year and pays $8,000 in income taxes. Based on this information, we could say that Boise's tax system is

Question

Quizplus · Accepted Answer

Boise's tax system is regressive because the lower income earner (Bailey) pays a higher proportion of their income in taxes compared to the higher income earner (Amy).

Suppose That in the Economy of Boise, Amy Earns an Income