The concept of equity would explain the redistribution from the rich to the poor which is achieved from a tax system that requires taxes to
A) fall when income rises.
B) rise when income rises.
C) remain stable when income rises.
D) be unrelated to income.

Question

Quizplus · Accepted Answer

The concept of equity, particularly vertical equity, supports a progressive tax system where taxes rise with income. This means individuals with higher incomes pay a higher percentage in taxes, facilitating redistribution from the rich to the poor.

The Concept of Equity Would Explain the Redistribution from the Rich