Solved

Why Do Some Policymakers Support a Consumption Tax Rather Than

Question 165

Multiple Choice

Why do some policymakers support a consumption tax rather than an income tax?


A) The average tax rate would be lower under a consumption tax.
B) A consumption tax would encourage people to save earned income.
C) A consumption tax would raise more revenues than an income tax.
D) The marginal tax rate would be higher under an income tax.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions