A Theory of Taxation That States That Citizens Should Bear

question 52

Multiple Choice

A theory of taxation that states that citizens should bear tax burdens in line with their ability to pay taxes is the

• A) ability-to-pay principle.
• B) equity principle.
• C) benefits-received principle.
• D) equal payment principle.

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Definitions:

Produced Factor

A term that does not correspond to a widely recognized economic concept as described; thus, it's considered as NO.

Capital Per Worker

The amount of capital stock available per employee in the workforce.

Not Proprietary

Refers to something that is not owned or controlled by a specific entity and is open for use by anyone.

Economic Growth

An increase in the production of goods and services in an economy over a period, typically reflected as a percentage increase in real GDP.