The following table shows the amount of tax paid in three countries X, Y and Z. Identify the type of tax structure practiced in each country. Country New tax paid X Y 7 Original income level 1,000 1,200 1.500 Original Tax paid 50 72 150 New income level 5,000 8,000 10.000 500 480 600

The following table shows the amount of tax paid in three countries X, Y and Z. Identify the type of tax structure practiced in each country. Country New tax paid X Y 7 Original income level 1,000 1,200 1.500 Original Tax paid 50 72 150 New income level 5,000 8,000 10.000 500 480 600

Microeconomics: Principles & Policy

14th Edition

ISBN:9781337794992

Author:William J. Baumol, Alan S. Blinder, John L. Solow

Publisher:William J. Baumol, Alan S. Blinder, John L. Solow

Chapter22: Contemporary Issues In The U.s. Economy

Section: Chapter Questions

Problem 5DQ

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Question

EXERCISE
The following table shows the amount of tax paid in three countries X,
Y and Z. Identify the type of tax structure practiced in each country.
Country
New tax paid
X
Y
Z
Original
income level
1,000
1,200
1,500
Original Tax
paid
50
72
150
New income
level
5,000
8,000
10,000
500
480
600

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