Which of the Following Forms of Taxation Accounts for the Largest

question 164

Multiple Choice

Which of the following forms of taxation accounts for the largest share of taxes received by state and local governments?

• A) sales, excise, and gross receipts taxes
• B) personal and corporate income taxes
• C) license and permit fees
• D) property taxes

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Definitions:

John Maynard Keynes

A British economist whose theories on the causes of prolonged unemployment and the importance of governmental fiscal and monetary policies founded Keynesian economics.

Federal Budget Deficit

The shortfall that occurs when the U.S. government's expenditures exceed its revenues within a fiscal year.

GDP

Gross Domestic Product, or GDP, represents the overall market value of all ultimate goods and services manufactured domestically in a specific timeframe.

Interest Rates

The cost of borrowing money or the return on investment for savings, usually expressed as a percentage of the total amount loaned or deposited.