Question:

Microeconomics questionss?

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Criteria that economists use in selecting a tax system include ______.

ability to pay and benefits received

fairness

only benefits received

only ability to pay

Paying a fee every time you use the municipal golf course is an example of the ______.

benefits principle

ability-to-pay principle

progressive tax principle

regressive tax principle

Taxation according to the ability-to-pay principle is best illustrated in the United States by ______.

sales taxes

income taxes

excise taxes

user fees

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1 ANSWERS


  1. 1) All of these are criteria that economists consider in selecting a tax system.  I'm guessing the teacher wants "Ability to Pay and Benefits Received" for a progressive system like the U.S.

    2) Benefits principle

    3) income tax

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