If a Tax Was Instituted Such That Every Dollar Collected

question 165

Multiple Choice

If a tax was instituted such that every dollar collected in taxes from high income households resulted in a distribution of $.80 to low income households

• A) efficiency and equality of incomes would both decrease.
• B) equality of incomes would increase but efficiency would decrease.
• C) efficiency would increase but equality of incomes would decrease.
• D) efficiency and equality of incomes would both increase.

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Definitions:

Negative Symptoms

In the context of psychological disorders, particularly schizophrenia, symptoms that indicate the absence or lack of normal cognitive or emotional processes, such as flat affect or apathy.

Schizophrenics

Individuals diagnosed with schizophrenia, a mental disorder characterized by distorted thinking, perceptions, emotions, language, sense of self, and behavior.

Generalized Anxiety Disorder

A mental health condition characterized by persistent and excessive worry about various aspects of life, often without a specific cause.

Excessive Worry

A mental state characterized by persistent and overwhelming anxiety about everyday things, beyond what might be considered normal or proportional.