Recall the Application That Questions If the United States Can

Multiple Choice

Recall the Application that questions if the United States can or should adopt a value-added tax (VAT) to answer the following question(s) . The value-added tax is essentially a sales tax that is levied on each stage of production. Firms pay the value added tax on their sales and then receive a credit for value-added taxes paid by their suppliers. Unlike a sales tax, the value-added tax is embedded in the price of goods.
-According to this Application, ________ developed countries and ________ developing countries have a value-added tax.

A) virtually all; many
B) very few; most
C) most; very few
D) very few; very few