English

Identify the type of taxation. - Economic Applications

Advertisements
Advertisements

Question

Identify the type of taxation.

Options

  • Progressive

  • Regressive

  • Proportional

  • Degressive

MCQ

Solution

Regressive

Explanation:

A regressive tax is one in which the tax rate drops as the tax base rises. The diagram depicts the case of regressive taxation. The tax line travels downward to the right, indicating that the tax rate reduces as the tax base expands.

shaalaa.com
Types of Taxes
  Is there an error in this question or solution?
2023-2024 (February) Official
Share
Notifications

Englishहिंदीमराठी


      Forgot password?
Use app×