A primary criticism of preferential tax treatment of dividends and capital gains is:

A) there is not a double taxation of dividends
B) it adversely affects the distribution of after-tax income
C) there is no locked-in effect resulting from taxation of capital gains
D) it does not have any impact on efficiency

B

Economics

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Assume the four-firm concentration ratio in industry X is 75 percent and that the firms in the industry produce a differentiated product. Industry X most likely would be characterized as:

A) perfectly competitive. B) a monopoly. C) monopolistically competitive. D) an oligopoly.

Economics

In an oligopolistic market, each firm

A) has a constant marginal cost. B) faces a perfectly elastic demand function. C) must consider the reaction of rival firms when making a pricing or output decision. D) produces at minimum average cost in the long run.

Economics