Other Things Being Equal, a Lump Sum Tax Is at Least

question 24

True/False

Other things being equal, a lump sum tax is at least as good for a consumer as a sales tax that collects the same revenue from him.

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Definitions:

Income

Money earned from work, investments, business, or any other sources, representing the financial gain derived by individuals or businesses.

Technological Advance

A phase of innovation where new technologies significantly improve processes, goods, or services.

Manufacturing Industries

Sectors of the economy that use machinery, tools, and labor to produce goods for use or sale.

Pure Competition

A market structure characterized by a large number of small firms all producing homogeneous products and facing no barriers to entry or exit.