What is the benefits-received principle? What are two arguments against this principle?
What will be an ideal response?
The benefits-received principle is the belief that higher taxes on the rich are justified because the rich have received a disproportionately large benefit of the services, infrastructure, and protections the government provides. One argument against this principle is the idea that it is hard to quantify exactly how large the government benefits are, which makes it difficult to say for sure that the rich have actually received a disproportionately large share of the benefits. Another argument against this principle is that the benefits received by the rich are available to everybody, and just because the rich happened to take greater advantage of the benefits does not mean that the poor were being denied the benefits. It may not be fair to penalize the rich for making the most of the government services they received because those services were available to everyone.
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Which of the following is the treaty that took the participating countries from a free trade area to a common market?
A) The Treaty of Rome B) The Maastricht Treaty C) Single European Act D) Treaty on European Union
For which of the following goods is the income elasticity of demand likely to be largest?
a. paperback mystery stories b. best-selling hardcover novels c. used textbooks d. children's books e. leather-bound editions of Shakespeare