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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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    If a Tax Is Proportional, the Average Tax Rate
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If a Tax Is Proportional, the Average Tax Rate

Question 41

Question 41

Multiple Choice

If a tax is proportional, the average tax rate


A) remains the same as income rises.
B) rises as income rises.
C) falls as income rises.
D) falls as income falls.

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