According to the Benefit Principle

question 6

Multiple Choice

According to the benefit principle,

• A)taxes should be distributed according to ability to pay.
• B)user charges are an ideal source of finance for government goods and services.
• C)the progressive income tax represents the ideal way of distributing taxes among citizens.
• D)flat-rate taxes are always the best kind.

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Definitions:

Life Expectancy

The average period that an individual is expected to live, based on statistical averages of age, gender, and other factors.

Lurking Variable

A variable that is not directly measured or included in a study but can affect the relationship between the studied variables.

Per Capita Wealth

The average amount of wealth per person in a specific population or area, calculated by dividing total wealth by the population size.

Association

A relationship or connection between two or more variables, where changes in one variable might be related to changes in another.