Answered: The government raises revenue through…

Business

Economics

The government raises revenue through taxation to pay for the services it provides. a. True b. False

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: Which type of goods are the best choice for levying or applying an excise tax? O Gasoline; almost…

A: The best choice for levying or applying an excise tax depends on the government's goals. If the…

Q: discuss double taxation that is good for 2 minutes.

Q: What is Double Taxation?

A: Taxation refes to a system of levying taxes on individuals or firms in the economy. Taxes are a…

Q: Tax incidence is the division of the burden of a tax between the A. society; seller B. buyer; seller…

A: Tax is a compulsory payment made by the individual, or company to the government as revenue to carry…

Q: Define progressive tax.

A: A tax refers to an amount imposed on the person, commodities or any other item to earn revenue for…

Q: Why do government entities impose taxes and how is the type of taxation chosen (e.g., excise v.…

A: The process of levying a financial charge, known as a tax, on individuals, businesses, and other…

Q: Explain how tax size and elasticity of demand/supply affect the size of tax revenue and social…

A: Elasticity of demand: It the measurement of the percentage change in the quantity demanded of a…

Q: The two largest sources of tax revenue for theU.S. federal government area. personal and corporate…

A: ANS According to the data available US federal govt. collects about 50% of its tax revenue from…

Q: What are some examples of goods subject to selective sales taxes?

A: Selective sales taxes are those taxes levied on specific goods and services, instead of on a broad…

Q: 95. Homeowners a. benefit from several loopholes. b. must pay tax on the “income” of living…

A: The tax is the unilateral payment made by the public to the government for various purposes such as…

Q: Which is wrong? EXPLAIN a. The government should tax itself. b. The government can tax itself. c.…

A: In an economy, government is the highest ruling authority that runs the economy based on its…

Q: 4. What Factors Determine Who Bears the Burden of Taxation?

A: Tax incidence is an approach in which the burden of tax is divided between sellers and buyers.

Q: e role of tax

A: The main purpose of taxation is that it finances the government expenditure . The most important use…

Q: What can you say about Tax incidence in the Philippines, who carries the burden more? Give examples…

A: Tax incidence is an economic term for the distribution of tax burden between producers and sellers.…

Q: State and explain the principles of taxation that would be used in designing and implementing any…

A: A taxation regime plays an important role in the economic development and economic growth of a…

Q: Explain the role of taxation in reducing excess demand?

A: An Excess demand relates to a situation in which the aggregate supply is less than the aggregate…

Q: By using graphs, show and explain how an increase in tax rates can increase dead-weight loss…

A: The Laffer Curve theory was developed by the economist Arthur Laffer and it shows the relationship…

Q: Choose the Letter of the Correct Answer. 1. It is an act of laying a tax. A. Theory of tax B.…

A: NOTE- First three parts has been answered according to Bartleby's answering policy. If you need…

Q: What are the two aspects of taxation? Explain each. (Please include the references

A: Taxation refers to levying of tax by a government authority. It is done to raise tax revenue. The…

Q: A tax will be split equally between buyers and sellers when:

A: Taxes are defined as mandatory contributions which are levied on individuals or corporations by the…

Q: What is the condition of tax incidence in the Philippines, who carries the burden more? Give…

A: The distribution of a tax's economic burden among the affected parties is known as tax incidence. It…

Q: Implementation of a taxation is necessary in economy. Explain

A: Taxation is the term used to describe the imposition of obligatory taxes or fees by a government on…

Q: Give a brief conclusion about taxation in Malaysia

A: Malaysia has progressive direct tax system.People with higher income are taxed higher and people…

Q: Assume the government imposes a $2.00 tax on a good that costs $5.00. If the price buyers pay…

A: Burden of tax refers to those who essentially end up paying the tax.

Q: A head tax is a tax that collects the same amount from every tax payer, while in progressive taxes…

A: A head tax, also known as poll tax or capitation, levies a predetermined amount on every person who…

Q: Look at the provided figure. Which area represents the tax revenue after the tax? Amount of the tax…

A: Taxes are the necessary payments that the agents within the nation have to make to the government.…

Q: 4. Why do government entities impose taxes and how is the type of taxation chosen (e.g., excise v.…

A: Governments impose taxes for various reasons, including raising revenue to fund government…

Q: Tax incidence usually falls A. only on producers. B. on both consumers and producers. C. only on…

A: Tax incidence is the division the burden of tax falls between producers and consumers. The burden of…

Q: What is the nature of Taxation?

A: Government and private sector balance the functioning of economy. With public and private sector,…

Q: 1. If the government puts a tax on the buyers of milk, then A.buyers will bear the entire burden of…

A: Taxes are the principal source of revenue for most governments. They are, simply put, a tax or levy…

Q: Social Security and Medicare taxes are the Payroll Tax. True

A: The Social Security and Medicare taxes are the Payroll Tax.

Q: The graph shows the market for posters in which the government has imposed a tax of $2 per poster.…

A: The following graph shows the demand curve, supply curve and the shift of the supply curve…

Q: How can the relative levels of taxes impact relationships between states? For instance, what is…

A: As we know tax is one of the major sources of government income, which the government spends on…

Q: true

A: Cigarette tax is an excise tax Excuse taxes are specific taxes required on goods and services like…

Q: uppose the government wants to raise additional tax revenues with the least disruption to prevailing…

A: In order to tax a good for higher tax revenue, elasticity of a good is calculated.

Q: An example of direct taxes are property taxes. True False

A: Property taxes are a type of direct tax. Direct taxes are taxes that are levied on individuals or…

Q: What would happen if Texas collects less taxes and generates less revenue?

A: In an economy, it can be seen that the taxes are the major part or component of government revenue.

Q: 8. Generally, the following can exercise the power of taxation, except: a. The local sanggunian b.…

A: Answer 8) Option c is correct The President only who does not have any power related to Taxation as…

Q: progressive income tax has a greater deadweight loss compared to a proportional incone tax ?…

A: Progressive income tax is a situation when the level of taxes increases with the increase in income…

Q: Discuss the 5 properties of a good tax system

A: A tax system is a bunch of regulations and guidelines that oversee the assortment of taxes from…

Q: 22. If the government decide to increase taxes on sugar, who do you think will carry the burden of…

A: As sugar is a necessary, therefore, its demand is inelastic (i.e. with a change in the price of the…

Q: Analyze taxes on tobacco through the perspective of: a. a smoker b. a cigarette firm

A: In an economy, when taxes are imposed on buyers or sellers, there will be different impact due to…

Q: Describe the two basic philosophies of taxation fairness. How are these philosophies evident in the…

A: Tax fairness is a principle that states that a government's tax system should be equal to all…

Q: 1st statement – The Legislative Department levies the taxes. 2nd statement – The Executive…

A: In an economy, the government is one that has the responsibility to manage different economic,…

Q: Explain how an increase in tax can reduce tax revenue of a government

A: Tax is the major source of revenue for the government. The major government spending is funded from…

Q: explain four reason why is tax important for a country

A: Tax is the unilateral payment made by the people towards the government for the income earned by the…

Question

The government raises revenue through taxation to pay for the services it provides. a. True b. False

Rules by which an authority (usually a government) imposes a financial obligation on individuals or organizations within its domain. Property or transactions can be taxed. While taxes are primarily intended to fund the operation of a government, many tax laws are created to encourage or discourage certain behaviors by citizens or companies.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1: Define Government

VIEW

Step 2: Explain the correct answer:-

VIEW

Solution

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

When evaluating the size of the deadweight loss due to a tax, what do we know? Select one: a. the smaller the elasticities of supply and demand, the greater the deadweight loss b. the greater the elasticities of supply and demand, the greater the deadweight loss c. the smaller the decrease in both quantity demanded and quantity supplied, the greater the deadweight loss d. the greater the elasticities of supply and demand, the smaller the deadweight loss
Attached is a graph diagram depicting the market for soft drinks. If an excise tax equal to $1 per liter is levied on soft drink sellers, please answer the following questions: 1. Buyers would spend a total of $___________ million on soft drinks. 2. Sellers would receive a total of $____________ million (after-tax) from selling soft drinks. 3. The government revenue from this tax would be $____________ million.
Supply of a good is more elastic than the demand for the good. Who will bear the larger burden of taxation in this case? A. Consumers and producers will share the burden of taxation in equal proportion B. Consumers will bear the larger share of burden of taxation C. Producers will bear the larger share of burden of taxation D. We can’t tell who will bear the larger burden
The two largest sources of tax revenue for the U.S. federalgovernmentarea. individual and corporate income taxes.b. individual income taxes and payroll taxes for socialinsurance.c. corporate income taxes and payroll taxes for socialinsurance.d. payroll taxes for social insurance and propertytaxes.
A government intervenes in a market and as a result the demand curve shifts to the right. Which government measure could cause this effect? Pick a,b,c, or d a. A subsidy granted to producers of the product b. A subsidy granted to consumers of the product c. The imposition of an indirect tax d. The imposition of a direct tax
What are the civic implications of taxation?
Cite and discuss two importance of taxation. Taxation here covers the levying of taxes by the government and paying of taxes due to the government.
The figure below shows that the imposition of an indirect tax shifts the supply curve to the left. What is the total tax revenue received by the government? Pick a,b,c, or d a. $300 b. $500 c. $650 d. $200
If a tax system is well designed: Select one: a. then efficiency can be improved only by making the system less fair. b. it maximizes fairness. c. it maximizes efficiency. d. it maximizes efficiency and equity. I think its d
Please answer fast
The additional tax on top of the standard tax? a. surtax b. EVAT c. corporate tax d. statutory contributions
When a good is taxed: a. both buyers and sellers of the good are made worse off. b. only buyers are made worse off, because they ultimately bear the burden of the tax. c. only sellers are made worse off, because they ultimately bear the burden of the tax. d. neither buyers nor sellers are made worse off, since tax revenue is used to provide goods and services that would otherwise not be provided in a market economy.