When the Tax Rates Imposed on the Rich Are High

Multiple Choice

When the tax rates imposed on the rich are high, a reduction in these rates

A) will always lead to a reduction in the tax revenue collected from the rich.
B) will not affect the tax revenue collected from the rich.
C) will increase the reported incomes of the rich and it may also lead to an increase in tax revenue collected from them.
D) will decrease the reported incomes of the rich, and thereby reduce the tax revenue collected from them.