The Movement from Older Level of Expenditure and Taxation to a New

question 4

Multiple Choice

The movement from older level of expenditure and taxation to a new and higher level is called

• A)concentration effect
• B)inspection effect
• C)displacement effect
• D)none of these

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Definitions:

Tax Cuts

Reductions in the amount of taxes that individuals or corporations are required to pay to the government.

Social Security

A government program designed to provide financial assistance to people with inadequate or no income, including the elderly, disabled, and families with dependent children.

Personal Income Tax

A tax levied on the taxable income of individuals, households, and unincorporated firms.

Supplemental Nutrition

Additional food or nutritional support provided to enhance health and dietary intake beyond basic needs.