Podcast
Play an AI-generated podcast conversation about this lesson
Questions and Answers
What is the purpose of imposing taxes?
What is the purpose of imposing taxes?
- To promote inequality
- To burden the citizens
- To reduce the national budget
- To support the government and public needs (correct)
What is the difference between regressive and progressive tax rate structures?
What is the difference between regressive and progressive tax rate structures?
- Regressive taxes have an increasing average rate as the tax base increases, while progressive taxes have a constant average rate for all levels of the tax base
- Regressive taxes are based on the principle that the rich should pay a larger amount of tax than the poor, while progressive taxes have a decreasing average rate as the tax base increases
- Regressive taxes have a decreasing average rate as the tax base increases, while progressive taxes have an increasing average rate as the tax base increases (correct)
- Regressive taxes have a constant average rate for all levels of the tax base, while progressive taxes have a decreasing average rate as the tax base increases
What are the essential characteristics of tax?
What are the essential characteristics of tax?
- It is voluntary and optional
- It is an enforced contribution and proportionate in character (correct)
- It is imposed for the purpose of promoting inequality
- It is generally payable in kind
