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Horizontal Equity Can Be Difficult to Assess Because It Is

question 183

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Horizontal equity can be difficult to assess because it is difficult to compare the similarity of tax payers.


Definitions:

ETFs

Exchange-Traded Funds, investment funds that are traded on stock exchanges, similar to stocks, and hold assets such as stocks, commodities, or bonds.

Capital Gain Distributions

The payments made to shareholders of a mutual fund from profits earned on the sale of securities within the fund's portfolio.

Income Distributions

Periodic payments made to investors from funds generated through dividends or interest by an investment fund or income-generating asset.

Rate of Return

Financial returns or setbacks on an investment over a specific duration, expressed in terms of a percentage of the investment's purchase price.

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