Andrew MOST likely replied with "Progressive." A progressive tax system is characterized by higher tax rates for higher income earners and lower rates for those with lower incomes, which helps redistribute income within a market economy.
Andrew, a senior accountant, was holding a meeting with other accountants in his firm. The junior accountants asked what tax system in a market economy redistributes income by taxing low-income and high-income earners at different rates. Which tax system did Andrew MOST likely reply?
(1 point)
Responses
Equitable
Equitable
Regressive
Regressive
Self-employment
Self-employment
Progressive
Progressive
1 answer
1 answer