Which of the Following Taxes Would Most Likely Be Regressive

question 6

Multiple Choice

Which of the following taxes would most likely be regressive?

• A) A 6% sales tax.
• B) A 15% flat-rate income tax.
• C) A progressive income tax.
• D) A corporate income tax.
• E) A 5% flat-rate income tax.

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Definitions:

Agency Shop

A workplace where employees are not required to join the union, but must pay union dues as the union negotiates on behalf of all employees.

Rand Formula

An option in a collective agreement enabling employees to retain the right not to join the union, though they are still required to pay union dues; also known as an agency shop.

Check-Off Provision

A provision in a collective agreement whereby employees agree to have the employer deduct union dues from their payroll.

Non-Competition Clause

A contract provision preventing an employee from entering into competition with their employer during or after their employment period.