Horizontal Equity Is the Concept That

question 92

Multiple Choice

Horizontal equity is the concept that

• A)equally situated individuals should be taxed equally.
• B)persons with the same income should be taxed equally.
• C)equal property value should be taxed equally.
• D)persons living in the same neighborhood should be taxed equally.

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Definitions:

Consumer Surplus

Consumer Surplus is the difference between the highest price a consumer is willing to pay for a good or service and the actual price they pay.

Tax

A mandatory financial charge or some other type of levy imposed on a taxpayer by a governmental organization in order to fund government spending and various public expenditures.

Reduction

The act of making something smaller or less in amount, degree, or size.

Sellers

Individuals or entities that offer goods or services for sale to consumers or other businesses, participating in economic transactions.