The ability-to-pay principle of taxation:
A. has been declared unconstitutional because it deprives individuals of property without due
process of law.
B. suggests that people should pay taxes in proportion to the benefits they derive from public
goods and services.
C. suggests that taxes should vary directly with people's income and wealth.
D. suggests that taxes should vary inversely with people's income and wealth.
Answer: C
You might also like to view...
Refer to the table above. The opportunity cost per dollar of value added in designing shoes by workers in Laborland is ________
A) $0.25 B) $0.50 C) $2 D) $4
Country A experienced a growth rate of real GDP per person of 0.5 percent per year throughout the 1900's. In view of other countries' experiences, country A's growth was
a. exceptionally high. b. moderately high. c. moderately low. d. exceptionally low.