List four types of tax-deferred saving vehicles. How could tax-deferred saving vehicles, if modified, transform the U.S. income tax into a consumption tax?
What will be an ideal response?
Four types of tax-deferred saving vehicles are IRAs, Roth IRAs, Keogh plans, and 401(k) plans. If no limits were placed on contributions into tax-deferred saving vehicles so that all savings and investment were sheltered from double taxation, then a broad-based federal income tax would approximate a consumption tax.
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An important function of secondary markets is to
A) make it easier to sell financial instruments to raise funds. B) raise funds for corporations through the sale of securities. C) make it easier for governments to raise taxes. D) create a market for newly constructed houses.
The international organization with the sole goal of promoting global antipoverty efforts is the
A) World Bank. B) International Monetary Fund. C) Board of Governors of the Federal Reserve System. D) GAE.