POLI 101 - nov 27 policy

POLI 101 - nov 27 policy - Tax Two Reasonable questions 1...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Tax Two Reasonable questions 1. How will this tax decision affect the overall economy? 2. Is this tax decision fair? Tax Policy 1. Consumption versus income a. Should the use of money or the acquisition of money be taxed? 2. Vertical (progressive, flat, and regressive) a. What is the fairest system? 3. Horizontal (loopholes and government incentives) a. To a large extent this was the focus of Gucci gulch 4. Estate or death taxes a. Should the accumulated savings of a person be taxed when that person dies? What did the heirs do to deserve this income? Where does the government get its money? 1. Income taxes – 48.4% (income tax is a progressive tax) 2. Social insurance and retirement receipts – 36.1% (slightly regressive tax) 3. Corporate income taxes- 13.4% 4. Excise taxes – 2.7% 5. Other taxes -0.9% Where does the money go? 1. Defense – 20.7% 2. Social Security – 21.0% 3. Medicare – 13.5% (Baby boom generation is now aging and needing more medicare) 4. Health – 9.7% 5. Income Security – 13.3% 6. Interest payments – 8.3% a.i. Total: 86.5% Distributive policy: Policy with clear winners and no clear losers (e.g. college loans, road
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern