Which of the Following Is Not True of Tax Loopholes

question 45

Multiple Choice

Which of the following is not true of tax loopholes?

• A)They reduce the progressivity of the federal income tax.
• B)They encourage particular patterns of behavior.
• C)They include exemption of interest earned on municipal bonds.
• D)They reduce excess burdens.

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Definitions:

Work Inputs

The efforts, skills, knowledge, and competencies that employees bring to a job or task in order to achieve the desired outputs or results.

McClelland's Motivation Theory

A theory that identifies three primary motivational needs: the need for achievement, the need for affiliation, and the need for power, which influence human behavior.

Need For Achievement

An individual's desire for significant accomplishment, mastering of skills, control, or high standards.

Need For Affiliation

A person's desire to build and maintain strong, positive relationships with others.