During Recent Elections,consumer Groups in Various States Attempted to Get

question 156

Multiple Choice

During recent elections,consumer groups in various states attempted to get the sales tax on all medicines and drugs removed.They argued that such a tax is severely regressive.What is the economic interpretation of their statement?

• A)The poor get ill more often than do the rich.
• B)The poor pay higher prices for medicine and drugs than do the rich.
• C)The poor pay a higher percentage of their income in taxes on medicine and drugs than do the rich.
• D)All consumers pay too much money for medicine and drugs.
• E)The sales tax discourages the poor from seeking medical treatment.

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Definitions:

Benevolent Beliefs

Positive but patronizing beliefs and attitudes that can unintentionally perpetuate inequality, often viewed as harmless or even supportive by those who hold them.

Justification Suppression Model

The idea that people endorse and freely express stereotypes in part to justify their own negative affective reactions to outgroup members.

Stereotype Threat Hypothesis

The stereotype threat hypothesis proposes that individuals at risk of confirming negative stereotypes about their social group may underperform in relevant tasks due to increased stress and anxiety.

System Justification Hypothesis

A theory suggesting that people have a psychological inclination to defend and justify the existing social, economic, and political systems, even at a cost to personal and group interest.