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November 27, 2014

Homework Help: Economics-Tax Question

Posted by G on Tuesday, April 8, 2008 at 1:25pm.

I know the answer to the following question is either (c) regressive tax augement or (d) the ability-to-pay principal. I am not sure which one?

"A $1,000.00 tax paid by a poor person may be a larger sacrifise than a $10,000 tax paid by a wealthy person" is an argrment based on:
A)the horizontal equity principle
B)the benefits principle
C)a regressive tax argument
D)the ability-to-pay principle

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