According to the Horizontal-Equity Principle of Taxation

question 238

Multiple Choice

According to the horizontal-equity principle of taxation,

• A)individuals who receive the benefits of a good or service should bear a greater share of the tax burden.
• B)individuals who are most able to pay should bear a greater share of the tax burden.
• C)people in the same economic situation should be treated equally.
• D)individuals who are willing to bear a greater share of the tax burden should be compensated with non-monetary benefits.

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Definitions:

Land Reform

A series of measures intended to redistribute or regulate land ownership, often to favor less wealthy tenants, small farmers, or landless workers.

Vicious Circle

A complex chain of events that reinforces itself through a feedback loop, often leading to a negative or detrimental outcome.

Poverty

A socio-economic condition characterized by a lack of access to essential resources, services, and opportunities necessary for a minimum standard of living.

Capital Accumulation

The process of acquiring and investing capital in order to increase the wealth or productive capacity of an economy.