According to Timothy Smeeding

question 39

Multiple Choice

According to Timothy Smeeding,

• A)the U.S. has seen large increases in income inequality over the last four decades.
• B)income inequality is greater in the U.S. than most developed countries.
• C)the U.S. has the widest extremes of income compared to other developed countries.
• D)All of these are true.
• E)None of these is true.

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Definitions:

Excise Tax

A charge imposed on certain products, services, or transactions, commonly integrated into the cost of the item.

Tax Incidence

The analysis of the effect of a particular tax on the distribution of economic welfare, essentially who bears the burden of a tax.

Buyers

Individuals or organizations that purchase goods or services for personal use, resale, or as inputs in the production of other goods.

Sellers

Individuals or entities that offer goods or services for sale in the marketplace.