When Is a Tax Said to Be Progressive

question 18

Multiple Choice

When is a tax said to be progressive?  

• A) if the absolute amount of the tax (in dollars) increases as income increases 
• B) if the wealthy pay a smaller percentage of their income than the poor pay 
• C) if the average tax rate falls as income rises 
• D) if the proportion of income paid as taxes increases as income increases

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Definitions:

Transmit Information

The process of sending data from one place or individual to another, allowing for communication and understanding.

Receive Information

The process of acquiring data or knowledge through various means such as reading, listening, observing, or experiencing.

Correct Order

The proper or desired arrangement of objects, tasks, or priorities according to specific criteria or rules.

Neuron

A nerve cell that is the basic building block of the nervous system, responsible for transmitting information throughout the body.