A. generates a smaller disincentive to work than most alternative anti-poverty policies.
B. reduces the cost to the government of fighting poverty
C. would not provide benefits to lazy people
D. ensures that the poor actually receive what the government thinks they need does all these answers.
Related Mcqs:
- Imagine there is no tax on income up to Rs 1000 after that there is a tax of 505 what is the average tax rate on an income of Rs 20,000 ?
A. Rs 50000
B. 20%
C. 25%
D. Rs 10000 - If the income tax rate changes from 30% to 40% on income over Rs30,000 and a person’s income is Rs 31,000 then her marginal tax rate is ?
A. 30%
B. 10%
C. 70%
D. 40% - The property tax wealth tax inheritance tax and income taxes such as persona and corporate taxes are ?
A. indirect taxes
B. direct taxes
C. inelastic
D. value-added tax - A tax for which high income taxpayers pay a smaller fraction of their income than do low income taxpayers is known as ?
A. a proportional tax
B. a regressive tax
C. an equitable tax
D. a progressive tax - The negative effect on the economy that occurs when average tax rates increase because taxpayers have moved into higher income brackets during an expansion is ?
A. debt burden
B. the Laffer curves
C. bracket creep
D. fiscal drag - Rank utilitarianism liberalism, and libertarianism in sequence from the political philosophy that would redistribute income the greatest to the one that would redistribute income the least?
A. utilitarianism, liberalism, libertarianism
B. All three political philosophies argue for similar degree of income redistribution
C. liberalism, libertarianism, utilitarianism
D. libertarianism liberalism, utilarianism
E. libertariansim, utilitarianism, libertarianism - A tax whose burden expressed as a percentage of income, falls as income increases is a ?
A. benefits received tax
B. progressive tax
C. regressive tax
D. proportional tax - A progressive income tax means that those with a higher income pay ?
A. a higher percentage of their income in taxes then low income people
B. a lower percentage of their income in taxes than low income people
C. the same percentage of their income in taxes as low income people all the taxes in the economy.
D. all the taxes in the economy - Which of the following is true with regard to a tax on labor income? Taxes on labor income tend to encourage ?
A. the unscrupulous to enter the underground economy
B. the elderly to retire early.
C. all the things described in these answers.
D. second earners to stay home.
E. workers to work fewer hours - If people with higher incomes pay a higher percentage of income in taxes, the income tax structure is ?
A. progressive
B. regressive
C. value added taxes (VAT)
D. excise taxes
