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What Sort of Measure of Poverty Are We Using When

question 73

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What sort of measure of poverty are we using when we compare the salaries of the lowest-paid members of a corporation with the salary of the CEO?


Definitions:

Ability-to-pay Taxation

A principle of taxation based on the belief that taxes should be levied according to an individual’s or entity’s capacity to pay, reflecting their income or wealth.

Progressive Tax Structure

A tax system in which the tax rate increases as the taxable amount increases, typically designed to distribute the tax burden more heavily on those with higher incomes.

High-income Receivers

Individuals or entities that receive a significantly higher amount of income compared to the median or average levels within a society or economic system.

Benefits-received Principle

A theory in taxation that argues taxpayers should pay taxes in proportion to the benefits they receive from government services.

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