Which of the Following Is True of an Excise Tax

question 67

Multiple Choice

Which of the following is true of an excise tax?

• A) An excise tax is always a unit tax.
• B) An excise tax is levied on purchases of particular good or service.
• C) An excise tax is based on an individual's income.
• D) Imposing an excise tax shifts the market demand curve.

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Definitions:

Organization

An arranged and structured collective of people with a particular purpose, such as a business or government department.

Public Service Motivation

The inclination or desire to contribute to the well-being of society through work in the public sector or through voluntary service.

Goal Theories

Theories that focus on how setting goals influences behavior and outcomes.

Temporal Motivation Theory

Temporal Motivation Theory is a model that explains motivation in terms of time, focusing on how time influences the prioritization and pursuit of goals.