(Applying the Analysis)Which of the Following Claims Is Not Made

question 33

Multiple Choice

(Applying the Analysis) Which of the following claims is not made by opponents of a value-added tax (VAT) ?

• A) Savings and investment are discouraged because future consumption is penalized.
• B) The VAT is regressive,potentially leading to additional progressive taxes to offset the regressive VAT.
• C) Sellers bear a disproportionately large burden of the tax.
• D) The VAT is a hidden tax,and thus easier to raise to support the expansion of government.

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Definitions:

Skill-Based Pay

A system of pay that rewards employees for the acquisition and the development of new skills that lead to enhanced work performance.

Extrinsic Rewards

Rewards that come from an external source, such as money, trophies, or praise, which are given to someone for performing a particular task.

Self-Praise

The act of expressing commendation, pride, or approval of oneself, often perceived negatively when excessive.

Paid Vacations

Employer-provided benefits allowing employees time off work with pay.