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Which of the Following Is Not a Reason That Tax

Question 49

Multiple Choice

Which of the following is not a reason that tax revenue might fall at very high tax rates?


A) People have a greater incentive to practice tax avoidance.
B) Government officials fail to enforce tax laws.
C) People tend to commit more tax evasion.
D) People work less in the case of a personal income tax.
E) Corporations inflate expenses in the case of a corporate income tax.

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