The Assertion That People with the Same Ability to Pay

question 182

Multiple Choice

The assertion that people with the same ability to pay taxes should pay the same amount in taxes best represents the idea of

• A) horizontal equity.
• B) vertical equity.
• C) the benefits principle of tax fairness.
• D) fairness principle of taxation.
• E) benefits paid principle of taxation.

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Definitions:

Biases

Systematic patterns of deviation from norm or rationality in judgment, whereby inferences about other people and situations may be drawn in an illogical fashion.

Logical Errors

Faulty reasoning patterns or mistaken beliefs that often result from cognitive biases or limitations.

Conclusions

Statements or judgments that are arrived at by reasoning from evidence or facts.

Experiment

A research method involving the manipulation of one or more independent variables to determine their effect on a dependent variable, within a controlled environment.