One tax system is less efficient than another if it A places a lower tax burden

One tax system is less efficient than another if it a

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46. One tax system is less efficient than another if it A. places a lower tax burden on lower income families than on higher income families. B. places a higher tax burden on lower income families than on higher income families. C. raises the same amount of revenue at a higher cost to taxpayers. D. raises the same amount of revenue at a lower cost to taxpayers. 47. Which of the following statements reflect the administrative burden of taxes to businesses? (x) Big companies are under almost continuous audit. (y) Tax laws require biweekly remittances of Social Security and withheld income tax. (z) Businesses are able to pass on higher taxes to consumers in the form of price increases.
ECO 251; Fall, 2012: Chapter 12 Multiple Choice Questions Page 7 of 10 48. Suppose the government imposes a tax of 10 percent on the first $40,000 of income and 20 percent on all income above $40,000. For a person whose income is $50,000, the tax liability is _______and the marginal tax rate is _____. 49. Suppose the government imposes a tax of 10 percent on the first $40,000 of income and 20 percent on all income above $40,000. For a person whose income is $30,000, the tax liability is _______and the marginal tax rate is _____. 50. The average tax rate measures A. the fraction of spending paid in taxes. B. the fraction of income paid in taxes. C. the incremental rate of tax on income. D. the average deadweight loss from all taxes. 51. The most efficient tax possible is a 52. If the government imposes a tax of $3,000 on everyone, this tax would best be described as a(n) ___________ tax. 53. According to the textbook, lump-sum taxes 54. The marginal tax rate for a lump-sum tax A. is always positive. B. is always negative. C. is zero. D. can take on any value, but must always lie above the average tax. 55. With a lump-sum tax, the

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