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What makes a tax effective in economics?
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28 votes
What makes a tax effective in economics?

User Haim Evgi
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20 votes
A tax system meets the test of adequacy if it provides enough revenue to meet the demand for public services, if revenue growth each year is enough to fund the growth in cost of services, and if there is enough economic activity of the type being taxed so rates can be kept relatively low.
User Parik Tiwari
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