A friend tells you he is studying the incidence of the corporate income tax. What is the subject of his study?

Question

Quizplus · Accepted Answer

The study of incidence of the corporate income tax is concerned with how the burden of the tax is distributed among stockholders, employees, and consumers. This involves analyzing the tax's effects on corporate profits, wages, and prices, and the extent to which these effects are passed on to various stakeholders.

A Friend Tells You He Is Studying the Incidence of the Corporate