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To: taxcontrol
I got that one wrong, too. But you have to be careful with the wording of that correct answer. I was thinking about the progressive income tax too, I should have read it more carefully. If you average everything out, the correct answer is indeed correct -- i.e. the sum of tax receipts/ the number of citizens (NOT "taxpayers") = total gov't spending/ the number of citizens (IF revenue is set equal to spending).

And, there are other ways the gov't incurs debt (e.g. foreign borrowing), so the answer you gave (which I also gave) isn't right.

76 posted on 07/05/2011 9:28:20 PM PDT by PENANCE
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To: PENANCE

But government also has different ways to raise taxes. They can use tax, they can tax income or spending etc.


97 posted on 07/05/2011 9:43:46 PM PDT by taxcontrol
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