« previous next »

Author Question: Explain the idea behind the benefits-received principle of taxation and provide an example. What ... (Read 73 times)

MirandaLo

  • Hero Member
  • *****
  • Posts: 538
on: Jun 29, 2018
Explain the idea behind the benefits-received principle of taxation and provide an example.
 
  What will be an ideal response?

Question 2

Identify whether each of the following transactions will take place in the factor market or in the product market:
 
  a. Shondra buys a Harley-Davidson Softail motorcycle.
  b. Aimee works 20 hours a week at a grocery store.
  c. Gustavo sells a warehouse to a produce delivery company.
  d. Ocean Spray increases employment at its Middleboro, Massachusetts plant.


tjayeee

  • Sr. Member
  • ****
  • Posts: 329
Reply #1 on: Jun 29, 2018
Answer to Question 1

It is a theory of fairness which holds that taxpayers should contribute to government (in the form of taxes) in proportion to the benefits that they receive from public expenditures. The gasoline tax, paid by motorists, goes to the Federal Highway Trust Fund to build and maintain federal highways. The beneficiaries of public highways are thus taxed in rough proportion to their use of those highways.

Answer to Question 2

a takes place in the product market.
b, c, and d take place in the factor market.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Dogs have been used in studies to detect various cancers in human subjects. They have been trained to sniff breath samples from humans that were collected by having them breathe into special tubes. These people included 55 lung cancer patients, 31 breast cancer patients, and 83 cancer-free patients. The dogs detected 54 of the 55 lung cancer patients as having cancer, detected 28 of the 31 breast cancer patients, and gave only three false-positive results (detecting cancer in people who didn't have it).

Did you know?

Asthma attacks and symptoms usually get started by specific triggers (such as viruses, allergies, gases, and air particles). You should talk to your doctor about these triggers and find ways to avoid or get rid of them.

Did you know?

There are immediate benefits of chiropractic adjustments that are visible via magnetic resonance imaging (MRI). It shows that spinal manipulation therapy is effective in decreasing pain and increasing the gaps between the vertebrae, reducing pressure that leads to pain.

Did you know?

There are actually 60 minerals, 16 vitamins, 12 essential amino acids, and three essential fatty acids that your body needs every day.

Did you know?

In inpatient settings, adverse drug events account for an estimated one in three of all hospital adverse events. They affect approximately 2 million hospital stays every year, and prolong hospital stays by between one and five days.

How the study of genomes and proteomes can provide us with connections to different biological level How the study of genomes and proteomes can provide us with connections to different biological level
Cylinder 1 slit signals the computer the piston position for cylinder 1. The 1-degree slits provide ... Cylinder 1 slit signals the computer the piston position for cylinder 1. The 1-degree slits provide ...
Grind whole flaxseeds before eating them to best reap their nutritional benefits Grind whole flaxseeds before eating them to best reap their nutritional benefits
Physics- Density, Pressure and Pascal's Principle Physics- Density, Pressure and Pascal's Principle
Physics - Pressure, Density, Pascal's Principle Physics - Pressure, Density, Pascal's Principle
Because the factor h on the right side of the Heisenberg uncertainty principle has units of ... Because the factor h on the right side of the Heisenberg uncertainty principle has units of ...
Video: Proteins

For a complete list of videos, visit our video library