All of the following statements are true except
A. an income tax taxes savings twice only if consumption is the measure used to gauge a person's ability to pay.
B. at this time, there is not clear consensus on what the best tax base is.
C. proponents of income as a tax base argue that you should be taxed on what you draw out of the common pot instead of on the basis of your ability to draw from the pot.
D. the double taxation of saving tends to reduce the saving rate.
Answer: C
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