"Bracket Creep" Happens When

question 79

Multiple Choice

"Bracket Creep" happens when

• A) tax liabilities are based on real income and there is a negative inflation rate.
• B) tax liabilities are based on real income and there is a positive inflation rate.
• C) tax liabilities are based on nominal income and there is a negative inflation rate.
• D) tax liabilities are based on nominal income and there is a positive inflation rate.
• E) too many peculiar people make their way into the highest tax bracket.

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