Briefly evaluate the advantages and disadvantages of a lump-sum tax
A lump-sum tax is the most efficient tax because the tax does not distort incentives; thus, a lump-sum tax does not create a deadweight loss. But because a lump-sum tax places the same tax burden on poor people as rich people, most would view it as unfair.
Economics
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A decrease in quantity demanded of a good is caused by
A) a decrease in income. B) a decrease in the price of a substitute. C) an increase in the price of the good. D) a change of tastes.
Economics
The poverty rate for Hispanics is ______ than the rate for non-Hispanic whites and ______ than the rate for blacks.
A. higher; slightly higher B. lower; slightly lower C. higher; slightly lower D. lower; slightly higher
Economics