A Progressive Income Tax Is One That

question 85

Multiple Choice

A progressive income tax is one that

• A) taxes income so that the average tax rate decreases with the level of income.
• B) taxes all income above the guaranteed minimum at an average rate that decreases with income.
• C) taxes income so that the average tax rate increases with the level of income.
• D) taxes income at a constant rate, regardless of the level of income.

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Definitions:

Compressed Workweek

A work schedule that allows employees to work longer hours on fewer days of the week.

Telecommuter

Home-based employee.

Job Sharing Program

A work arrangement where two or more individuals share the responsibilities and duties of a single full-time job, dividing the hours and benefits among themselves.

Flextime

A flexible hours work arrangement allowing employees to alter workday start and end times while maintaining a set number of working hours.