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    Principles of Microeconomics Study Set 10
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    Exam 12: The Design of the Tax System
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    In Order to Determine Tax Incidence, One Must
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In Order to Determine Tax Incidence, One Must

Question 121

Question 121

Multiple Choice

In order to determine tax incidence, one must


A) consider issues of equity.
B) also determine the legal liability of the tax.
C) evaluate where the tax burden eventually falls.
D) use the "flypaper theory" of taxation.

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