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Which Statement Is CORRECT

Question 221

Multiple Choice

Which statement is CORRECT?


A) If the government can make the tax system fairer without sacrificing efficiency,it should do so to maximize equity.
B) If the government can make the tax system fairer without sacrificing efficiency,then the existing tax system is perfectly designed.
C) There is no trade-off between equity and efficiency in the tax system.
D) If the government can make the tax system fairer without sacrificing efficiency,it should seek to maximize equity at the expense of efficiency.

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