Fiscal Policy: Taxes

Question 1

Property taxes are usually determined based on

Revolt · Accepted Answer

the value of the property.

Question 2

Which best describes how expansionary policies can facilitate economic growth?

Revolt · Accepted Answer

They increase disposable income.

Question 3

Under a contractionary taxation policy, the government can reduce the deficit by

Revolt · Accepted Answer

increasing taxes.

Question 4

sales taxtariffexcise tax

Revolt · Accepted Answer

tariff

Question 5

How are progressive taxes and regressive taxes similar?

Revolt · Accepted Answer

Both generate revenue for public services.

Question 6

Governments collect taxes to ensure that

Revolt · Accepted Answer

citizens contribute to meeting society's needs.

Question 7

How is an excise tax different from a sales tax?

Revolt · Accepted Answer

An excise tax applies to specific products.

Question 8

Under an expansionary taxation policy, the government tries to stimulate economic growth by

Revolt · Accepted Answer

reducing taxes.

Question 9

This graph shows US government revenue and expenditures between 1980 and 2010.

Revolt · Accepted Answer

The government on average spends more than it collects.

Question 10

proportionallyprogressivelyregressively

Revolt · Accepted Answer

proportionally

Fiscal Policy: Taxes Answers