The Horizontal-Equity Principle of Taxation Is Not Easy to Use

question 15

Multiple Choice

The horizontal-equity principle of taxation is not easy to use in practice because

• A)some people engage in rent seeking to reduce their taxes below the level other people pay.
• B)people can use tax loopholes to reduce their incomes below the incomes of other taxpayers.
• C)different people receive different levels of government benefits even if their incomes are the same.
• D)it is difficult to determine whether people are in the same economic situation.

---

Definitions:

Nasal Cannula

A device used to deliver supplemental oxygen or airflow to a patient in need of respiratory help, consisting of a lightweight tube which on one end splits into two prongs that are placed in the nostrils and from which a mixture of air and oxygen flows.

Productive Cough

A cough that expels mucus or phlegm from the respiratory tract, indicating the clearing of airways.

Ventilator-Associated Pneumonia

A type of lung infection that occurs in people who are on mechanical ventilation breathing machines in hospitals, posing significant risks.

Mechanical Ventilation

An approach to aid or supplant self-initiated breathing through the use of a device referred to as a ventilator.