Which of the Following Statements Is Concerned with Equity Rather

question 66

Multiple Choice

Which of the following statements is concerned with equity rather than efficiency?

• A) Almost all taxes create some amount of deadweight loss.
• B) Excise taxes tend to raise prices for consumers and reduce sales for firms.
• C) Tax rates on the wealthy are too low and should be raised.
• D) The incidence of a tax does not depend on who actually pays it.
• E) Taxes generate revenues that governments spend on services.

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Definitions:

Cretaceous

The geological period between 145 and 66 million years ago, known for the dominance of dinosaurs and ending with their extinction.

Short-legged

Short-legged describes animals or objects having noticeably short legs compared to the standard proportion or to other individuals/specimens.

Snakes

Snakes are elongated, legless, carnivorous reptiles of the suborder Serpentes, known for their distinctive slithering movement and often venomous bites.