When voters pay taxes in proportion to the benefits they receive from government projects
What will be an ideal response?
projects that are efficient will tend to be favored by an overwhelming majority of voters.
You might also like to view...
The permanent income hypothesis implies that the effect of a temporary tax cut on economic activity
A) is greater than the effect of a permanent tax cut. B) is the same as the effect of a permanent tax cut. C) is smaller than the effect of a permanent tax cut. D) can be greater than or smaller than the effect of a permanent tax cut, depending on how the tax cut affects the government.
If the interest rate were to rise, we expect that
A) autonomous expenditures will rise. B) the supply of money will fall. C) the amount of money people want to hold will rise. D) the amount of money people want to hold will fall.
If you invest $1,000 in a savings account and the annual interest rate is 3.6 percent, your account balance will double in value in approximately _____
a. 185 years b. 72 years c. 34 years d. 20 years e. 3.4 years
Which of the following is likely to have the most price inelastic demand?
a. strawberry-banana milk shakes b. gasoline in the short run c. diamond earrings d. box seats at a major league baseball game