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    Economics Principles and Policy Study Set 2
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    Exam 17: Taxation and Resource Allocation
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    Under a Regressive Tax, the Fraction of Income Paid in Taxes
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Under a Regressive Tax, the Fraction of Income Paid in Taxes

Question 148

Question 148

Multiple Choice

Under a regressive tax, the fraction of income paid in taxes


A) rises as income rises.
B) is unchanged as income changes.
C) falls as income rises.
D) is proportional to the change in income.

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