Al Believes That SUVs Have Negative Social and Environmental Effects

question 127

Multiple Choice

Al believes that SUVs have negative social and environmental effects because of their increased carbon monoxide emissions. He proposes eliminating sales taxes on smaller automobiles in favor of higher sales taxes levied on SUVs. Al performs some calculations and comes to the conclusion that based on the current number of SUVs owned in the U.S., exactly the same amount of total sales tax will be collected under his reformed system. Which of the following concepts explains why Al's idea may not work?

• A)The ability to pay principle
• B)Horizontal equity
• C)Substitution effect
• D)Vertical equity
• E)None of the choices are correct

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Definitions:

Sabotage

the deliberate action aimed at weakening a polity or corporation through subversion, obstruction, disruption, or destruction.

Work Slowdown

A form of protest by employees, involving a deliberate decrease in work pace or productivity to express dissatisfaction or demand better conditions.

Beverage Cart

A mobile service cart used to offer and serve beverages in various settings, such as offices, golf courses, or events, enhancing guest or employee experience.

Scheduling Practices

Methods and techniques used by organizations to plan and allocate work hours and shifts among employees.