Incentives to Work and Save Are Reduced When

question 51

Multiple Choice

Incentives to work and save are reduced when

• A)income taxes are higher.
• B)consumption taxes replace income taxes.
• C)corrective taxes are implemented.
• D)All of the above are correct.

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Definitions:

Revenue Expenditures

Expenditures that are immediately charged against revenues in the period they are incurred, typically related to the maintenance and repair of assets.