Exam 18: Taxation and Resource Allocation

What were the arguments in favor and against repealing the Bush tax cuts?

Figure 18-2 -Figure 18-2 shows the widget market before and after an excise tax is imposed.What percentage of the tax per widget is borne by consumers, considering the true economic incidence of the tax?

Which of the following best reflects the ability-to-pay philosophy of taxation?

Corporate taxes are a direct tax.

The corporate income tax is

An excise tax

The largest single source of revenue for the federal government is the

The method of financing the Social Security system until 1983 is best described as

The federal income tax is a good example of a

If two families are equally situated except that one rents and the other owns their home, the existing tax system will lead to

Rhode Island has enacted a substantial increase in the tax on employers that finances the workman's compensation system.For some employers, the tax is about $25 per $100 paid in wages.Employers claim they cannot afford to pay the tax.Under which of the following conditions will the actual burden of the tax fall on employers?

The individual income tax, the inheritance tax, and the head tax are all examples of direct taxes.

The Bush tax cuts concentrated on reducing ____ tax rates which means they can be expected to improve economic ____.

The way in which most persons pay their personal income tax is in the form of

The most important indirect taxes in the United States are

Many Americans believe that taxes have been gobbling up an ever-increasing share of the U.S.economy.Is this observation correct? Explain.

A proportional tax is one in which the fraction of income paid in taxes rises as a person's income increases.

Most loopholes in the income tax system

Which of the following government entities relies most heavily on sales taxes?

Explain the excess burden of a tax on luxury yachts.