Which of the Following Statements About Taxes on Consumption Are

question 31

Multiple Choice

Which of the following statements about taxes on consumption are true?

• A)Taxes on consumption do not distort choices between current and future consumption in ways that impair efficiency.
• B)Taxes on consumption have the same economic effects as taxes on income.
• C)Taxes on consumption are likely to reduce saving.
• D)Taxes on consumption have no effect on real wages.

---

Definitions:

Myelin Sheath

A protective covering made of fatty substances and proteins that surrounds the axons of many neurons, enhancing the speed of nerve impulse transmission.

Neuron Structure

Describes the anatomy of a neuron, including parts such as the cell body, dendrites, axon, and synaptic terminals, which facilitate nerve impulse transmission.

Electrical Cord

A flexible cable comprised of one or more electrical conductors, typically encased in insulation, used to transmit power.

Nodes of Ranvier

Nodes of Ranvier are gaps in the myelin sheath of nerve fibers where axonal membranes are exposed, enabling rapid transmission of nerve impulses.