Means-Tested Programs Tend to Favor

question 44

Multiple Choice

Means-tested programs tend to favor

• A)those with high income as would a consumption tax.
• B)those with high income while a consumption tax would favor those with low income.
• C)those with low income as would a consumption tax.
• D)those with low income while a consumption tax would favor those with high income.

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Definitions:

Agency Law

Legal principles and rules governing the relationship where one party, the agent, is authorized to act on behalf of another, the principal, in dealings with third parties.

Business Activity

Any action undertaken by individuals or companies involving the production, distribution, or sale of goods and services.

Principals

In a commercial context, the parties who enter into a contract or agreement, authorizing agents to act on their behalf in transactions.

Contracts

Legally binding agreements between two or more parties that create mutual obligations enforceable by law.